New Lows In The Midst Of Monday’s Manic Meltdown
Volatility reigns as equity and energy markets try to rally back after Monday’s huge selloff. In the case of U.S. stocks, it was the worst day since the financial crisis in 2008. For oil, it was the worst day since Gulf War 1 in 1991. Oil prices managed to add back a cool 10 percent, and refined products were pushing double digit gains, but look to be struggling to hang on as the morning trading progresses.
Rumors of a new tax cut to try and prop up the economy are getting some of the credit for the rally in stocks, which reversed overnight losses after Italy announced it was placing the country on lock down.
The IEA’s March oil market report highlights the uncertainty surrounding the coronavirus, and the potential impacts on demand. OPEC’s monthly report is due out tomorrow, and will be interesting to see how the cartel handles the discussion surrounding the price war.
With prices reaching four-year lows in the midst of Monday’s manic meltdown, we took a look back at a handful of other price collapses, and where we saw values 6 months later for those customers looking at locking in their diesel prices this year.