Oil prices is going down

The world oil prices are witnessing a high decline during this period due to the world events in the Corona epidemic.

The first time in America’s oil history since the start of future sales of oil in 1983. the price of West Texas Intermediate crude oil reached $ 37.63 below zero, with trading closing Monday.this huge drop is due to the great pressure in terms of demand and supply of oil prices at one time. and this has never happened before.

this is precisely what led to the significant decline in demand, especially from China, the largest consumer of crude.

All countries have stock of crude due to the repercussions of the economic activity, most of which has stopped and consequently decreased significantly, which led to an increase in oil stocks in exporting countries such as the United States of America, Mexico, Russia and Saudi Arabia even though Saudi Arabia and Russia decided to reduce their production to reach 10 million barrels in the day.

All of these events were expected as a result of the severe damage caused by the Corona pandemic. as an application to limit the spread of the virus, all countries have decided to stop flights and transportation, which is the main reason for the paralysis of economic movement in the world.

I expect, with the new conditions, there will be many losses for countries.

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