US oil prices are the lowest in history


Due to the coronavirus epidemic, lockdown is occurring in almost all countries of the world. As a result, the price of fuel oil is falling in the world market. But the impact on the US oil market has never been greater in the history of the world. For the first time in Monday's history, US oil prices fell below zero. This means that producers are paying the opposite buyers to buy oil.

In fact, as oil demand declines, US oil reserves are no longer able to withstand the extra oil pressure. Producers fear the archive will collapse in May. In this situation, they want to remove this oil from themselves. Yesterday, the US-based West Texas Intermediate (WTI) oil price fell minus $ 1.30 per barrel. The BBC reported in a report online.

Travel around the world due to lockdown, human movement all stopped. There is absolutely no demand for oil. Analysts say oil prices have fallen as various contracts have expired. The oil prices, which were originally supposed to be delivered in May, have fallen. Because there is no place to store oil for the month of May in the archives.

The price of WTI oil, which was supposed to be delivered in June, dropped yesterday to $ 20 per barrel. On the other hand, Brent crude oil prices fell 5 percent to $ 25 a barrel yesterday.

Analysts fear that if the lockdown is issued around the world, the price of the oil that is supposed to be supplied in June may fall further.

The demand for fuel oil has declined since the beginning of this year, mainly due to the coronavirus epidemic. As a result, the price of the Who's Who in the world market is decreasing. US oil reserves can no longer take the pressure of excess oil. The price is going down further. By the end of March, prices have come down to the lowest position in five years.

The oil market has been arguing for a month to reduce production. To bring the situation under control, talks began between oil producing countries. After a series of talks on April 7, OPEC Plus and oil producing allies reached a historic agreement to reduce production. The coalition of top oil producers and exporters has agreed to reduce the production of 100,000 barrels per day of oil, which accounts for 5 percent of the world's total production. By April 2022 production will be reduced to various levels.


Category and Tags
More stories by
The Demerits of an Illegal Government in a Country

An illegal government, characterized by its lack of legitimacy and non-compliance with the established legal and constitutional frameworks, can have far-reaching and devastating impacts on a country. Such a government often emerges through undemocrat

Elon Musk publicly endorsed Trump for president after the attack

Photo:ReutersTesla billionaire owner Elon Musk has endorsed Donald Trump in the upcoming US election. This is the first time he has publicly endorsed a Republican candidate. Elon Musk expressed his support and described Trump as "strong".Elon Musk an

Elon Musk and the executive of Neuralink welcome their third child. This is the current count of his children.

According to Bloomberg News, Elon Musk and Neuralink Corp. director of special projects, Shivon Zilis, welcomed their third kid earlier this year. Musk is the CEO of Neuralink, the company he founded that makes brain implants. In an interview wi

Who are the 10 most valuable companies in the world?

For a few days, there is a lot of discussions about which is the most expensive company in the world. The chip com...

Elon Musk will receive a salary of 56 billion dollars as CEO

Electric car maker Tesla's shareholders have voted to approve CEO Elon Musk's $56 billion pay package. The approval process was completed yesterday Thursday at the annual meeting of Tesla partners in Austin, Texas, USA. Reuters newsAt the annual meet

Follow Business Habit on Facebook, Twitter