BAGHDAD, April 20 – RIA Novosti. The historic collapse in oil prices depends on the degree of control over the spread of coronavirus and limitations of population movements, in the case of loose constraints, prices will return to normal levels, said RIA Novosti the representative of the Iraqi Ministry of oil, Assem Jihad.
on Monday, WTI (delivery in may) for the first time in history fell to negative values, quotes on NYMEX reached minus 40.32 USD per barrel. The June futures is cheaper after the may, but much more modest 16.9% to 20.8 percent. June Brent futures feels even better: price drops 7.8% to 25.9 per barrel.
“This situation is natural in view of the fact that you cannot control the spread of coronavirus, this has led to the stagnation in the crude oil market and the overcrowding of storage facilities, the offer on the market in abundance,” explained Jihad.
According to him, the fall in prices is a natural consequence of the lack of transactions on the purchase, which negatively affects the prices for black gold.
“the most Important factors that caused the collapse in oil prices – restriction of passenger and industrial flights, no fuel consumption, in view of this, offers more than demand,” – said the speaker.
“the Process is associated with the degree of control over the spread of coronavirus and the gradual removal of restrictions on movement: as soon as we return to the natural pace of movement, it will be reflected positively on oil consumption and prices. And while there are limitations, we will see further losses in the markets,” said Jihad.
the Total number of cases of infection with coronavirus in Iraq is 1574, of which 82 were fatal, 1043 patients recovered. On Monday authorities said the lack of fatalities per day.
Current data on the situation of COVID-19 in Russia and the world presented on the portal stopmanager.of the Russian Federation.
