Oil futures end sharply lower on glut concerns

Oil futures fell sharply Monday, hit by concerns over a global supply glut. September West Texas Intermediate crude dropped $1.54, or 3.7%, to end at $40.06 a barrel. The U.S. benchmark traded below $40 for the first time since April, notching a session low of $39.82. Concerns about production by members of the Organization of the Petroleum Exporting Countries, a rise in U.S. rig counts and large gasoline stockpiles contributed to the weakness, analysts said.

Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.