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New York (CNN Business)The nightmare in the oil industry keeps getting worse. It's now facing the weakest oil price since the first term of President George W. Bush.
Intensifying recession fears drove US oil prices down a staggering 24% Wednesday to $20.37 a barrel. That's the lowest level since February 2002.
Selling escalated throughout the day, with 9% morning losses more than doubling by the afternoon. The acceleration reflects a growing realization of just how much the coronavirus outbreak is slamming the world economy.
The relentless selling is being driven by a crushing combination of excess supply and shrinking demand. And it's dealing a crushing blow to America's once-booming oil industry.
The coronavirus pandemic has caused global travel to collapse, eating into the world's once-insatiable thirst for oil, which powers the economy. Countless flights have been canceled. The cruise industry is at a standstill. Highways are empty. And many factories are dark.
Read more here. (CNN)
Intensifying recession fears drove US oil prices down a staggering 24% Wednesday to $20.37 a barrel. That's the lowest level since February 2002.
Selling escalated throughout the day, with 9% morning losses more than doubling by the afternoon. The acceleration reflects a growing realization of just how much the coronavirus outbreak is slamming the world economy.
The relentless selling is being driven by a crushing combination of excess supply and shrinking demand. And it's dealing a crushing blow to America's once-booming oil industry.
The coronavirus pandemic has caused global travel to collapse, eating into the world's once-insatiable thirst for oil, which powers the economy. Countless flights have been canceled. The cruise industry is at a standstill. Highways are empty. And many factories are dark.
Read more here. (CNN)
