Oil loses 13% of its value because of Coronavirus outbreak

28 Feb 2020 12:09 PM

Oil prices fell sharply since the start of the weekly trading losing about 13% of their value, with fears related to Coronavirus outbreak, and the implications of this on the decline in global demand, especially in transportation and the manufacturing sector, which was severely affected by the closure of many factories and stores in China.

Brent crude fell by 13.4% to $52.00 bpd, while WTI fell by 12.4% to $45.40 bpd, which had not reached the price since December 2018. This comes at a time when some reports indicated that UK is seeking to reduce oil production significantly in an attempt to address the continued decline in global demand, as some reports confirmed Saudi Arabia's desire to urge OPEC+ at its next meeting to increase production cut by about one million bpd.