Oil prices slumped on Tuesday, extending the previous session's slide, on worries about limited capacity to store crude worldwide and expectations that fuel demand may only recover slowly as coronavirus pandemic restrictions are gradually eased.
MELBOURNE - Oil prices slumped on Tuesday, extending the previous session’s slide, on worries about limited capacity to store crude worldwide and expectations that fuel demand may only recover slowly as coronavirus pandemic restrictions are gradually eased.
Brent crude LCOc1 futures fell to a low of $18.97 and were last down 4.1%, or 82 cents, at $19.17 a barrel. The benchmark slid 6.8% on Monday, and the contract for June delivery expires on April 30. The main concern is that there is nowhere to store all the oil that is not being consumed due to the drop in global economic activity amid restrictions imposed around the world to curb the spread of the new coronavirus.
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