empty
05.10.2020 10:16 AM
Oil wins back losses of the previous week

This image is no longer relevant

Crude oil prices jumped Monday morning after the global contraction last week. Colossal losses were recorded: the benchmark Brent brand immediately parted 8%, and WTI sank by 7.4%.

On the last business day last week, news broke that US President Donald Trump tested positive for COVID-19 which had a rather serious impact on the oil market. Trump himself announced positive test results on his Twitter account. Literally immediately there was a collapse in the cost of raw materials, which led to such a significant decrease in its cost.

Moreover, over the past weeks, the news of an increase in the number of COVID-19 infections in the world has stirred investors. The situation is especially acute in European countries and the United States of America. The second wave of the pandemic has practically become a reality there. The introduction of a new portion of restrictive quarantine measures is becoming a direct threat to economic recovery from the consequences of the first, spring wave of the pandemic. In this regard, the news of Trump's test results and some members of the White House turned out to be the icing on the cake, which led to an increase in the panic state of market participants. Of course, the drop in oil prices, in this case, was inevitable.

However, a reverse process began this morning, and the raw materials will gradually regain their positions, especially since Trump's health condition, according to his attending physician, is not in danger: he is on the mend and very soon will be able to return to the fulfillment of his official obligations in full, as well as fully engage in the election race. The oil market reacted positively to such statements: black gold immediately began to grow in price, winning back all the losses.

Nevertheless, all forecasts regarding the movement of the oil price remain in the negative zone. This is primarily due to the deteriorating epidemiological situation in the world. The second wave of the pandemic will inevitably be followed by restrictive measures, which will be extremely difficult for the world economy to cope with since it has not yet fully recovered from the effects of the first wave. In addition, the demand for oil raw materials risks being under even greater pressure than it is now. At the same time, OPEC is taking steps to contain the excessive level of supply in the market. Traditionally, this is due to compliance with production quotas, the implementation of which is now under threat, since some countries have again begun to exceed the required volumes.

The greatest concern of investors this week, of course, is still on the growing cases of the coronavirus infection around the globe. Also, the adoption of a new stimulus package designed to support the US economy, which suffered during the first wave of the COVID-19 pandemic, remains a matter of concern.

The price of futures contracts for Brent crude oil for delivery in December on the trading floor in London rose immediately by 2.06% or $0.81, which allowed it to move to the level of $40.08 per barrel. And this is above the strategically and psychologically important mark of $40 per barrel. There were hopes that the raw materials will be able to recoup all their losses from the previous week. Friday's trading session ended with a decline of 4.1% or $1.66, which forced raw materials to move to the lowest level in almost four months at $39.27 per barrel.

The price of futures contracts for WTI crude oil for delivery in November on the electronic trading platform in New York rose 2.38% or $0.88, which sent it to $37.93 per barrel. Friday's trading also recorded a decline of 4.3% or $ 1.67, leaving the final price at $ 37.05 per barrel which was the lowest since the beginning of September this year.

Maria Shablon,
Experto analítico de InstaForex
© 2007-2025
Seleccione el marco de tiempo
5
min
15
min
30
min
1
hora
4
horas
1
día
1
s.
Gana con los cambios en el valor de las criptomonedas con InstaForex.
Descarga MetaTrader 4 y abre tu primera operación.
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    UNIRSE AL CONCURSO

Recommended Stories

Tormenta bursátil: Nvidia se dispara, el Dow cae y el tribunal anula los aranceles de Trump

Las acciones de Nvidia subieron un 5% tras el cierre; las acciones de Dick's Sporting Goods aumentaron tras superar las expectativas del primer trimestre El tribunal de comercio

11:01 2025-05-29 UTC+2

Juicio contra Trump: los aranceles fueron declarados ilegales. ¿Qué significa todo esto para los mercados?

Un fallo judicial inesperado y toda la arquitectura de la política arancelaria de Donald Trump comenzó a desmoronarse como un castillo de naipes. El Tribunal de Comercio Internacional

Аlena Ivannitskaya 11:00 2025-05-29 UTC+2

«El efecto Nvidia»: ¿aguantarán los mercados la última ola de presión?

Los resultados de Nvidia se publicarán el miércoles, los últimos de los ingresos de los "Magnificent 7". Donald Trump y los mercados europeos han vuelto al punto de partida

11:08 2025-05-26 UTC+2

La tecnología en auge: Snowflake y Alphabet brillan mientras cae el sector solar

Dow y S&P 500 terminaron la jornada sin cambios, mientras que el Nasdaq subió un 0,28%. Snowflake se disparó. Alphabet alcanzó su nivel más alto en casi tres meses

11:26 2025-05-23 UTC+2

Israel, Irán y el barril del miedo: el petróleo vuelve a subir

Durante la sesión asiática del miércoles por la mañana, el petróleo subió repentinamente un 1,5% gracias a las noticias procedentes de Oriente Medio. Las sospechas de un posible ataque

Natalia Andreeva 11:03 2025-05-21 UTC+2

El Bitcoin no teme los problemas de calificación crediticia de EE. UU. y sigue apuntando al alza. Los índices S&P 500 y Nasdaq100 también

La primera criptomoneda intenta mantener un nivel alto, aunque no siempre lo consigue. No obstante, el Bitcoin casi se ha consolidado en una posición de liderazgo, a pesar

Larisa Kolesnikova 11:03 2025-05-21 UTC+2

El dólar sin futuro: la venta masiva apenas comienza

Hasta hace poco, el dólar parecía intocable: el ancla mundial, el refugio monetario, la última palabra en confianza global. Pero hoy cada vez se escucha más otra retórica: sobrevaloración, agotamiento

Аlena Ivannitskaya 08:22 2025-05-20 UTC+2

Bitcoin: qué esperar esta semana. ¿Se mantendrá el récord con la subida hasta los $107 000?

A la primera criptomoneda le toca mantener sus posiciones, aunque a veces le resulta difícil. En este momento, el BTC ha salido adelante, por lo que la tarea de conservar

Larisa Kolesnikova 14:34 2025-05-19 UTC+2

El consumidor estadounidense pierde impulso: lo que dicen Target y Lowe's

En la próxima semana, Wall Street centrará su atención en los informes de las principales cadenas minoristas de EE. UU., que ayudarán a evaluar cómo afectan a la economía

12:39 2025-05-19 UTC+2

STOXX 600 alcanza nuevas cimas: ¿hacia dónde se dirige el crecimiento y qué les espera a los inversores?

Cisco sube tras la mejora de previsiones para el ejercicio fiscal UnitedHealth cae por un informe que menciona una investigación penal El índice europeo STOXX 600 apunta a su quinta

12:47 2025-05-16 UTC+2
¿No puede hablar ahora mismo?
Ingrese su pregunta en el chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.