WTI Crude Prices Slip into Bear-Market Territory (OIL) (USO)

(Updated - July 23, 2015 2:55 PM EDT)

WTI oil futures close in bear market, according to Bloomberg.

UPDATE - Market data has crude September futures settling own 74 cents, or 1.5 percent, to $48.45 per barrel.

While the U.S. dollar has weakened on Greece's bailout deal with creditors, many market watchers noted an recent increase in inventory levels and suspected that oversupply might plague the commodity for the next year or so.

The U.S. Energy Information Administration (EIA) said that U.S. inventories rose 2.5 million last week, while markets were looking for a drop. Further, API said inventory rose 2.468 million barrels last week, versus estimates calling for a decline of 1.45 million barrels.

Recent agreement's over Iran's nuclear program will have that country contributing to OPEC's overall production, which is already near record-high levels. OPEC has been exceeding its 30-million-barrel-per-day quota since May 2014 and Iran is obligated to fit into that quota.

On watch today include: iPath Dow Jones-Goldman Sachs Crude Oil Fund (NYSE: OIL) and United States Oil Fund (NYSE: USO).

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