Oil Prices Rebound 10% As Brent
Crude Settles at $ 27.15 and US Crude at 23.52 a Barrel
19 March 2020
Oil prices rebound by 10% on today’s session
after been pushed up by a selling waive lasted for three day downed the
prices to their lowest levels in near twenty years as the demand plunged
due the spread of coronavirus and the supplied increased amid price war
on market shares between Saudi and Russia.
Brent crude benchmark oil captured breath
somehow back of losing half value in less than two weeks amid investors’
in the various financial markets evaluations of the impact of huge
stimulus packages from central banks.
By 08:31 GMT, Brent crude jumped $ 2.29 (9.2%) to $
27.16 per barrel following a fall to $ 24.52 on Wednesday’s session
reaching the lowest level since 2003.
US Crude rose by $ 3.20 (15.7%) to $ 23.52 a barrel
after a fall by 25 percent in the previous session to its lowest levels
in 18 years.
However, analysts say that most likely the gains might
be temporary as the decreased demand on the crude caused by the outbreak
of coronavirus timed with the collapse of the pact between OPEC and
other oil producers to validate a massive production cuts this month.
Saudi, the biggest OPEC producers which ignited the
price war with Russia and resulted in a price fall, to continue pumping
oil to record levels at 12.3 million barrel a day for several months.