-37.63 dollars. For the first time in history, the New York-listed American barrel price (WTI) ended the day with a negative price. Investors have desperately sought to get rid of some barrels in a saturated market, notably because of the Covid-19 pandemic. However, one should not draw too many conclusions from this. We explain to you why.
A drop in barrels delivered in May
The impressive drop in prices on Monday concerned the prices of barrels delivered in May, whose contracts expired on Tuesday. Those who held them had to find physical buyers as quickly as possible. But as stocks have already swelled enormously in the United States in recent weeks, they have been forced not only to sell off their prices to convince them to grab their barrels, but also to pay them to do so.
However, the same barrel for delivery in June, if it also fell, stood at $ 20.43 at the close. WTI's contract for July delivery ended at $ 26.28 and that for August delivery at $ 28.51.
Producers who prefer or can afford to sell later by storing their black gold are betting that prices will have risen by then. They estimate in particular that the world consumption of crude and refined products will restart at the same time as the eco activity
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