WTI Crude Oil Sees Slight Strengthening, But Virus Concerns Still in Focus

Early on Wednesday, WTI crude oil prices are trading slightly bullish but gains remain limited on account of the rising concerns about the coronavirus outbreak and its economic impact. At the time of writing, WTI crude oil is trading at around $52.51 per barrel.

Extended lockdown across factories and workplaces in several parts of China have reduced manufacturing and subsequently brought down the demand for crude oil in the world’s largest energy consumer, weakening oil prices lately. While the number of new cases being reported from Hubei declined for the second consecutive day, the death toll continues to rise and the WHO has cautioned that it is too soon to get optimistic about the possibility that the virus has been contained successfully.

Crude oil prices have gained back around 8% of their value over the past few days from the lowest levels seen so far in 2020 over hopes that OPEC will implement additional supply cuts. Any further weakness in oil demand could speed up OPEC+’s decision for further curbs in crude production to stem the decline in prices.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies
ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
Related Articles
Comments
0 0 votes
Article Rating
Subscribe
Notify of
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

Add 3442

Add 3440

XM

Best Forex Brokers