- WTI futures remain near multi-month lows at $ 35.
- Oil prices are down around 11% on the week due to coronavirus concerns.
- Baker Hughes reports sixth consecutive weekly rise in US oil rigs.
WTI futures for the first month They remain near multi-month lows at $ 35.35 set for a weekly 11% decline as the release of Baker Hughes oil rig data has offered no support.
Oil prices plummet on fears of further lockdowns
US West Texas Intermediate is down this week, due to concerns about the impact on global demand as COVID-19 cases rise in the US and Europe. The new blockades introduced in France and Germany, and Spain stated that regional blockades have driven negative pressure on oil prices.
Beyond that, Baker Hughes reported that the number of active oil rigs in the US increased from 10 to 221. These figures confirm the sixth consecutive increase in the oil rig count, adding to concerns about oversupply. as the second wave of the pandemic accelerates.
Earlier today, news that Kuwait would back any OPEC + decision regarding cuts in oil production has offered a respite to the price of crude and allowed the WTI to break above $ 36 for a brief period before returning to the bottom of the $ 35 range.
Oil producers are divided over the idea of ​​Russia and Saudi Arabia to extend the current production cuts of 7.7 million barrels per day until next year, which is further affecting prices.
Credits: Forex Street
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