* Prices swing $4/bbl in volatile session
* Central banks cut interest rate, boost liquidity
By Florence Tan
SINGAPORE, March 16 (Reuters) - Oil prices extended losses
on Monday, slumping by more than $1 a barrel, as an emergency
rate cut by the U.S. Federal Reserve failed to soothe global
financial markets panicked by the rapid spread of the
coronavirus and mounting economic disruptions.
Over the weekend, more governments locked down by cancelling
flights to contain the virus, telling some businesses like
restaurants to close and encouraging more people to stay home.
Brent crude LCOc1 fell $1.83 to $32.02 a barrel by 2331
GMT, extending a plunge of over 20% last week. The front-month
price opened at a high of $35.84 but slipped a low of $31.63.
U.S. crude CLc1 was at $30.20, down $1.53 after slipping
below $30 earlier in the session, despite U.S. President Trump's
pledge to fill strategic oil reserve at the world's largest oil
consumer "to the top". The U.S. Federal Reserve slashed interest rates on Sunday in
its second emergency cut this month, and said it would expand
its balance sheet by at least $700 billion in coming weeks.
Oil markets have come under intense pressure from both
worries about demand destruction as the pandemic spreads and
oversupply after top exporter Saudi Arabia ramped up output and
slashed prices to increase sales to consumers in Asia and
Europe. "As governments around the globe ramp up their efforts to
contain and minimise the health and economic damage, traders are
alert for more central bank responses," said Michael McCarthy,
chief market strategist at CMC Markets in Sydney.
But "the extreme moves and ongoing higher volatility suggest
difficult trading will continue", he said.