Broader investor risk aversion also weighed on oil with the US dollar jumping to a nine-month high on signs the US Federal Reserve is considering reducing stimulus this year
The cuts left Exxon traders without the capital they needed to take full advantage of the volatile oil market, these people said.
The trading retreat came after Exxon had worked in the previous three years to bolster its trading unit with revamped facilities, high-level hires and new tools to help traders take on more risk.