Crude price worsens on Covid-19 concerns

Crude price worsens on Covid-19 concerns
2020-09-22T06:09:03+00:00

Shafaq News / oil prices continued to drop amid indications that the resurgence of the Corona virus may lead to further closures.

Monday's price drop was driven by concerns of high rate of Covid-19 cases in major markets could lead to new closures and affect demand, which raised the possibility of returning Libyan oil when it is not needed.

British Prime Minister Boris Johnson will encourage Britons on Tuesday to go back to working from home if they can to contain the spread of coronavirus.

Brent crude prices fell by 13 cents, or 0.31%, to $ 41.32, and US crude fell by 14 cents, or 33%, to $ 39.41.

Markets are concerned about demand in places like the UK, as new restrictions are imposed. US health officials have also warned of a new wave next winter.

Usually,When the coronavirus reappears, governments shut down and impose restrictions, and individuals and companies begin to retreat, at a time when supply increases after the return of Libyan oil production to the fore and with the limited demand for oil

.

Traders will be watching the American Petroleum Institute data regarding US oil inventories scheduled for later on Tuesday, and prices may improve or decline according to these data.

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