Oil Demand Falls Over Fears of Pandemic Second Wave

Oil Demand Falls Over Fears of Pandemic Second Wave

Both international benchmarks ended last week lower as Brent crude dropped to $41.92 per barrel and WTI crude prices fell to $40.25 per barrel.

What should have been positives for the oil price in the form of lower US stockpiles and hurricane outages in the US Gulf of Mexico, were overshadowed by demand fears coming from a second wave of the COVID-19 coronavirus which threatens to shut down major economies once again.

The market also eyed other potential negatives for the oil price on the supply side from Iraq and Libya.

A glut of oil stored onshore and offshore remains a concern for traders but nevertheless crude managed to remain above the $40 barrier despite the cautious mood.

Statements from some of the world's biggest oil traders suggest they may be betting on price