WTI Oil Price Returns to Positive
June futures for the North Sea Brent mixture on the ICE in London are trading at $ 25.39 per barrel (May contracts expired). On April 20, the value of the April WTI futures collapsed to zero, and then for the first time in history reached negative values: quotes closed the trading session at minus $ 37.63 per barrel.
Following the introduction of restrictions to combat the spread of coronavirus, global oil demand has fallen. “If we don't see a recovery in demand in the near future, it is likely that the June contract will face the same fate”, Bloomberg quotes Warren Patterson, an analyst with ING Bank NV, a Dutch financial conglomerate. At the same time, he expressed the opinion that after April, prices will begin to gradually recover.