After yesterday's drop in oil prices, which fell by 26% down to an 18-year low (by 14%, down to $ 24.52), this morning Brent shows a stable corridor of $26.65 bbl. WTI has been traded at $21.39 per barrel since the morning. The drop of prices happened due to a slowdown in demand caused by the coronavirus, as well as the ongoing escalation of the global price war between Saudi Arabia and Russia. Caspian Energy reports this news, citing Business Insider.

West Texas Intermediate price fell by 26%, down to $20.06 per barrel.

During the coronavirus pandemic, the primary product price fell - losing up to 51% this month alone. Global demand has been hit hard by a wave of canceled flights for airlines and cruise liners. The outbreak also sparked a global price war between OPEC and its allies as they failed to agree on further production cuts.

For the past week and a half, the Saudi Arabia authorities have made statements almost every day, raising the rates. Earlier this month, the Kingdom said it would increase production to 12.3 million barrels per day from about 9.7 million.

According to IHS Market, this can lead to record levels of deliveries.

The shock of falling demand and rising supply reduced Wall Street’s appetite. Goldman Sachs has lowered its forecasts twice in recent weeks and now thinks Brent can fall to$20 per barrel. On Wednesday, the Mizuho analysts stated that the battle within OPEC can lead to negative prices.

Oil (Brent) PRICE In USD - Historical Prices