UK Mulls Second Wave COVID Lockdowns
Crude followed US equities lower yesterday, dropping more than 4% to close at $39.31. Markets are still fearful that 1 MMbpd of Libyan supply will deepen the oil glut, with a quarter of that coming online by next week. Additionally, Tropical Storm Beta passing over the Gulf Coast with little supply effect removed some bullish support. Markets are trading up in early trading this morning, recouping some of yesterday’s losses.
Climbing coronavirus cases in Europe are once again stoking fears of an economic lockdown. Infections in France and Spain have climbed, and Prime Minister Boris Johnson stated on Monday that he was considering a second lockdown, instituting a stop gap measure of 10:00 pm curfews for pubs and restaurants in the UK along with other measures to slow the spread of the virus. As of yesterday, more than 31.32 million people have been infected by the novel coronavirus, a Reuters tally shows.
In early trading today, crude prices are up. Crude is currently trading at $38.89, a gain of 58 cents.
Fuel prices are mixed this morning. Diesel is trading at $1.1127, a gain of 0.5 cents. Gasoline is trading at $1.1755, a fractional loss.
This article is part of Daily Market News & Insights
Tagged: coronavirus, demand, Lockdown
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