Oil prices plunged today, erasing gains made earlier in the session, as a new spike in COVID-19 cases around the world reinforced concerns about economic growth and a recovery in fuel demand.
European countries re-impose curfews and general isolation measures in light of the increase in new cases of Corona. India, which is on track to overtaking the United States with the world’s largest cases of COVID-19, is preparing for an increase in infections in the coming weeks as a major holiday season approaches. India is the third largest consumer of oil in the world.
Brent crude futures were down 0.7 percent to $ 43.04 a barrel, by 07:24 GMT, while US West Texas Intermediate crude futures fell 0.6 percent to $ 40.80.
Yesterday, Wednesday, the International Energy Agency said that a second wave of infections with the Coronavirus may impede producers’ efforts to achieve a balance in the market.
“Brent” earlier rose 0.4 percent and “West Texas Crude” 0.6 percent, extending the gains they made in Wednesday’s session, after data showed that US crude stocks fell last week.
The American Petroleum Institute said that stocks of crude, gasoline and distillates decreased in the week ending on the ninth of October, according to a report issued after the market closed yesterday.