Oil continues its unprecedented sell-off, as the coronavirus pandemic crushes demand.
. The contract expires today, which means that thin trading volume has contributed to the wild price action.
The front part of the oil futures 'curve,' which is the May contract that expires today, was hit the hardest since it applies to fuel that's set to be delivered while most of the country remains on lockdown thanks to the coronavirus. The only buyers of oil futures for that contract are entities that want to physically take the delivery like a refinery or an airline. But demand has dropped and storage tanks are filled, so they don't need it.
And as storage continues to fill, some are warning that prices could trade at extremely depressed levels for the foreseeable future.
France Dernières Nouvelles, France Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
Oil price crash: Record amounts of oil stored in tankers amid pandemic - Business Insider60% more oil is being stored at sea in oil tankers than the previous record high during the 2009 financial crisis.
Lire la suite »
Crude oil is back above $1 after the oil market's worst day on recordThe global coronavirus pandemic has brought countries around the world to a standstill. Here's the latest updates on worldwide Covid-19 cases, deaths, government responses, and more.
Lire la suite »
U.S. oil futures for May back in positive territory after record plungeThe U.S. oil benchmark for May was back in positive territory Monday night after a wild and historic plunge that saw it close down 306%, at negative-$37.63 a...
Lire la suite »
Oil price crashes into negative territory for the first time in history amid pandemicU.S. crude oil futures collapsed below $0 on Monday for the first time in history, amid a coronavirus-induced supply glut, ending the day at a stunning minus $37.63 a barrel as desperate traders paid to get rid of oil.
Lire la suite »
U.S. natgas trading at premium over oil after crude price collapseThe rapid collapse of U.S. oil futures on Monday caused crude's premium over natural gas to turn into a deficit for the first time ever.
Lire la suite »
Treasury yields move lower after historic oil price plungeU.S. government debt prices were higher Tuesday, after a historic oil price plunge stunned market participants in the previous session.
Lire la suite »