Oil Price has dropped by 30% – this is the biggest fall since 1991

On March 9, the price of oil in Asian Markets fell by more than 31% at the start of trading. This happened after OPEC countries failed to agree on a reduction in production with other oil producers on Friday. Amid dropping oil prices, the Russian Ruble began to drop.

It is noted that the price of the Brent brand has dropped to $31.02 per barrel, until the morning Brent quotes were $32.6.

It is emphasized that this is the largest drop in the const of oil after 1991, when the Persian Gulf war was on. According to the forecasts of the investment bank Goldman Sachs, oil quotes may continue to drop and reach the level of 20 to 30 USD.

At the same time, the price of WTI crude oil after the opening of trading on March 9, fell by 27% to 30 USD.

It is noted that due to the outbreak of coronavirus in the world market, an excess of oil has formed, but after the failure of the transaction, oil producers cannot get rid of it.

Amid falling oil prices on Monday morning, Asian markets sank sharply: the Nikkei index fell 5%. Hong Kong’s Hang Seng index fell 3.5%, and the Australian ASX 200 dropped more than 6%.

Extracted from www.bbc.com