A U.S. government report Monday forecast surging shale-oil production, adding to worries about a glut; and in Moscow, Russian Energy Minister Alexander Novak said production is rising, although the country is preparing to implement output curbs to conform with an OPEC+ accord.

"Oil has gotten caught up in all the panic you're seeing," said Bill O'Grady,chief market strategist at Confluence Investment Management LLC in St. Louis. "This is all about fears of a recession. It's risk-off everywhere."

But, as BMO's Russ Visch notes, it's not over.

Crude oil (WTI contract) has rectified the deepest oversold reading in more than 30 years by doing nothing more than trade sideways for the past 3-4 weeks. That's not healthy.