U.S. oil plunges to 18-year low as lockdowns trigger market meltdown

U.S. oil plunges to 18-year low as lockdowns trigger market meltdown

NEW YORK (Reuters) - Oil prices plunged on Wednesday, with U.S. crude futures hitting an 18-year low, as governments worldwide accelerated lockdowns to counter the coronavirus pandemic that is causing global fuel demand to collapse.. With governments worldwide urging residents to limit gatherings and isolate themselves, global oil demand by the end of March could fall as much as 8 million to 9 million barrels per day (bpd), Goldman Sachs said.. Saudi Arabia has so far ignored entreaties to act to balance the market, reiterating plans to maintain production at more than 12 million barrels per day, which would be a record.. U.S. crude futures fell even after weekly U.S. data showed notable declines in gasoline and diesel inventories.. "Physical markets are virtually bidless," said Scott Shelton, energy salesperson from United ICAP. ". A price war between OPEC leader Saudi Arabia and Russia has increased pressure on the market..