Oil prices have fallen to a record low since 1991 - 09.03.2020
On Monday, March 9, the oil market experienced a severe price collapse since 1991.
It is reported by LB.ua.
The price of oil of the American brand WTI collapsed by almost 30%. If on Friday, March 6, trading closed at $ 41.28 per barrel, this morning oil was trading below $ 29.
According to the report, the cost of the North Sea Brent variety collapsed during the night by almost $ 14 per barrel, to $ 31.27 per barrel. At the close of trading on March 7, North Sea oil was trading at $ 45.54 a barrel.
According to CNN, the decline in prices is associated with the disruption of the oil deal between OPEC and Russia, which will officially end in late March. Russia refused to reduce oil production in response to reduced demand due to coronavirus, and then Saudi Arabia exacerbated the situation.
According to analysts, the kingdom lowered prices for April deliveries by $ 6-8 in order to regain market share and put pressure on Russia.
According to statistics, the largest one-day percentage drop in US oil prices this century occurred in September 2001, when they fell 15%.
“Oil quotes may continue to fall and reach the level from $ 20 to $ 30,” Goldman Sachs analysts predicted.