For the first time in history, Oil prices in the United States have fallen below zero to record negative figures.
At the moment, US oil prices have fallen a whopping 306% trading at $-37.63 per barrel.
This means that producers are begging consumers to just take the oil off their hands.
Global stocks are mixed as investors brace for more companies to reveal how much the crisis is costing them.
Monday's plunge comes after prices hit an 18-year low last week as markets realized that record output cuts agreed by OPEC, Russia and other producers aren't nearly enough to offset the loss in demand.
"It hasn't taken long for the market to recognize that the OPEC+ deal will not, in its present form, be enough to balance oil markets," wrote Stephen Innes, chief global markets strategist at AxiCorp, in a research note.
The May futures contract for West Texas International is about to expire, and frantic last-minute trading is compounding concerns about how much oil the United States will be able to store as demand dries up, according to Bjornar Tonhaugen, head of oil markets at Rystad Energy. He said that is leading to these "large price swings."
Several reactions on Twitter are recorded below:
A bottle of coke is worth more than a barrel of oil: Thats year 2020 for you. UNPRECEDENTED!
— Gaurav Mishra (@Imkgauravmishra) April 20, 2020
#OilCrash #OilPrice #CrudeOil #WTIcrude pic.twitter.com/8txgjmjx60
The world: we can stop the spreading of the coronavirus!.
— ????????????????????????????????? ???????????? ???????? (@ALG_TAG) April 20, 2020
Coronavirus ????: stop me then...#OilPrice #crudeoil pic.twitter.com/BwvdrUwSpr
Just curious , when you go long future we always been told your maximum risk that asset can go to 0 and you have your risk management according to it. what will happen in this situation. Never thought will learn this lesson also account for Negative asset. #OilPrice #Oil pic.twitter.com/0QJ0VC6voD
— Vishal Mehta, CMT (@vishalmehta29) April 20, 2020
The only country economically benefited with this tragedy is China!#OilPrice pic.twitter.com/sNGeJfqmyg
— Jonathan Xavier (@jprsce) April 20, 2020
I want to buy three barrels of Oil
— Your Favorite Igbo Boy ???????????????? (@vuchi_) April 20, 2020
#OilPrice pic.twitter.com/iEKtrKLc2a
