Daily Management Review

Oil prices hit 13 months low


Oil quotes continue to decline on Thursday morning after they reached lows in the last 13 months on Wednesday. They continue to be pressured by fears that the epidemic of the new coronavirus will adversely affect the global economy, and hence the demand for oil, explains Dow Jones.

Vulnerability to the US market virus is of greatest concern, AxiCorp believes. “The problem is that only 426 people were tested in the US and - 35,000 in South Korea,” said Stephen Innes, chief market analyst at AxiCorp.

According to him, regulation of the United States authorities states that they should only check those who have respiratory symptoms and who have recently traveled to China or had close contact with an infected person. "The problem is that coronavirus is asymptomatic; it is contagious before the onset of symptoms," the expert warns.

The price of oil contracts for the coming month on the Shanghai International Energy Exchange (INE) on Thursday fell 3.8% to 368 yuan per barrel. A day earlier, the decline in quotations was 4.2%.

source: dowjones.com