Oil Took A Massive Dive In Overnight Trading – Gas Prices Expected To Drop

It could be a bloodbath on the markets today. Oil prices are plunging as a dispute among producers (Saudi Arabia, Russia and others) threatens to further damage a global economy already weakened by the COVID-19 crisis. Crude fell $11.44 or 25.3 per cent, to $33.83 cents per barrel in electronic trading today in London. With demand for oil falling as the new coronavirus disrupts travel around the world, there are fears the market will soon be glutted with oil unless producers can agree on production cuts to try to stabilize downward spiralling prices. The 14 OPEC countries had wanted to cut output by 1.5 million barrels a day, but Russia proved reluctant. While cheaper oil will translate into more affordable energy for consumers and businesses, it hurts producing countries and companies.

Contains files from the Associated Press

Photo Credit: Scott Fox: @ScottFoxOnAir



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Scott Fox and Kat Callaghan