Oil sinks to four-year low as economic worries mount

Mumbai: Oil fell more than $1 a barrel on Thursday to a four-year low below $83 a barrel as growing concerns over the global economy stretched a four-month rout. Global benchmark Brent has lost more than 28 per cent since June on slow demand and abundant supply. Losses have accelerated in October on signals that the Organization of the Petroleum Exporting Countries has no plan to cut output.

Brent crude for November delivery had dropped to $82.72 a barrel, the lowest since November 2010 and was down 83 cents at $82.95 a barrel by 0835 GMT. U.S. crude fell $1.27 to $80.51 a barrel.

"The market still seems very bearish," said Eugen Weinberg, analyst at Commerbank in Frankfurt. "And despite us seeing a floor around $80, even this floor might come into danger if we don't have any signal from OPEC any time soon."

Assets which depend on economic growth, such as shares and oil, have been hit by a raft of weak indicators from Europe at a time when other big economies, including China, Japan and Brazil face their own hardships.