LMW
LMW

Do you want to advertise here? Contact us

Imtex
Imtex

Do you want to advertise here? Contact us

Oil crashes, ends negative for the first time in history
.

Oil crashes, ends negative for the first time in history

By April 30, 2020 12:34 pm IST

U.S. crude oil futures turned negative on Monday for the first time in history, ending the day at a stunning minus $37.63 a barrel as traders sold heavily because of rapidly filling storage space at the key Cushing, Oklahoma, delivery point.

Brent crude, the international benchmark, also slumped, but that contract was nowhere near as weak because more storage is available worldwide.

The May U.S. WTI contract fell $55.9, or 306 per cent, to settle at a discount of $37.63 a barrel after touching an all-time low of -$40.32 a barrel. Brent was down $2.51, or 9 per cent, to settle at $25.57 a barrel.

“The storage is too full for speculators to buy this contract, and the refiners are running at low levels because we haven’t lifted stay-at-home orders in most states,” said Phil Flynn, an analyst at Price Futures Group in Chicago. “There’s not a lot of hope that things are going to change in 24 hours.”

Physical demand for crude has dried up, creating a global supply glut as billions of people stay home to slow the spread of the novel coronavirus.

Refiners are processing much less crude than normal, so hundreds of millions of barrels have gushed into storage facilities worldwide. Traders have hired vessels just to anchor them and fill them with the excess oil. A record 160 million barrels is sitting in tankers around the world.

Advertising

OEM Android App

Your future advertising space? Our media data

Cookie Consent

We use cookies to personalize your experience. By continuing to visit this website you agree to our Terms & Conditions, Privacy Policy and Cookie Policy.

Tags: News
Webinar
Webinar

Do you want to advertise here? Contact us

Autodesk
Autodesk
Trucut
Trucut
OEM Update QR Code
OEM Update QR Code

Events

Logimat India
Logimat India
Metal Forming Expo
Metal Forming Expo
ChemProTech India 2025
ChemProTech India 2025
Aerodef India Manufacturing Expo
Aerodef India Manufacturing Expo

eMagazine December 2024

eMagazine December 2024
eMagazine December 2024

Do you want to advertise here? Contact us

Our Sponsors

Carl Zeiss India
Carl Zeiss India
STMCNC
STMCNC
Maco-c
Maco-c
Inovance Technology
Inovance Technology
Mallcom
Mallcom
igus
igus
Delta Electric
Delta Electric
Wago Pvt Ltd
Wago Pvt Ltd
Studer
Studer
Urgo Capital
Urgo Capital
Prostar
Prostar
Super Slides
Super Slides
Quality Spares Center
Quality Spares Center
Endress Hauser
Endress Hauser
ACE Micromatic Group
ACE Micromatic Group
Hosabettu Heavy Machinery LLP
Hosabettu Heavy Machinery LLP
Ceratizit
Ceratizit
Chicago Pneumatic Tools
Chicago Pneumatic Tools
Concord Hydraulics
Concord Hydraulics
MMC Hardmetal Pvt Ltd
MMC Hardmetal Pvt Ltd
Mennekes
Mennekes
TruCut
TruCut
Voestalpine
Voestalpine
tectyl
tectyl
LMW
LMW
BKT Tires
BKT Tires
Mitsubishi Materials
Mitsubishi Materials
Molygraph
Molygraph
Fietest
Fietest
Exorint
Exorint
Exon mobil
Exon mobil
Wika Instruments India
Wika Instruments India