Oil slides as fears grow that coronavirus resurgence could stunt fuel demand recovery – Gulf Today

Oil slides as fears grow that coronavirus resurgence could stunt fuel demand recovery – Gulf Today

Gold hits 8 year peak on mounting virus jitters

"Crude oil prices are notoriously fickle when it comes to oscillations in global sentiment," said Dimitri Zabelin, analyst at DailyFX.

Should the number of coronavirus cases continue to grow and increase the need to take stronger measures to stem the spread of the virus, the weakened growth implications of such policies could weigh on crude oil prices, Zabelin said.

"The market has become increasingly confident that easing restrictions on travel and business would boost demand for crude oil, but the pandemic's progress threatens to derail this recovery," ANZ Research said in a note.

Gasoline demand will be closely watched as the United States heads into its July 4 holiday weekend when many Americans are expected to hit the road

"The recovery in gasoline demand will plateau until the U.S. economy improves," ANZ Research added.

U.S. gasoline stocks rose by 1.2 million barrels in the week to June 26, according to data from the Energy Information Administration released on Wednesday. 

Reuters