Oil prices drop as Corona’s second wave threatens to revive demand

Oil prices fell on Tuesday morning in the Asian markets, with fears increasing that the second wave of the spread of the Corona virus would threaten the recovery of oil demand, despite news of reduced production, including Iraq, and despite the commitment of the American Federal Bank to provide greater support to the American economy, and despite rumors that President Trump will provide more than a trillion dollars in economic support packages.

However, the decline is not significant, as both Brent and West Texas crude fell less than 1%. Brent crude fell 24 cents to $ 39.69 a barrel at 12:50 pm Singapore time, while West Texas crude fell 22 cents to $ 36.92 a barrel.

Oil prices fell yesterday with the opening of Asian markets, but later increased in the American markets, with gasoline prices rising to their highest level in three months after the Motiva refinery in Port Arthur in Texas, which Saudi Aramco owned, declared that it had stopped the production unit Gasoline due to the discovery of a leak in it.

Oil traders and investors are looking to the American inventory data from the American Oil Institute, which will be issued after the closing of the American markets today and shortly before the opening of the Asian markets.

SOURCE: attaqa.com