This archive report was first published on 20 April 2020.
On Monday, the United States crude benchmark West Texas Intermediate plummeted to its lowest level since 1998, falling by more than 35% to $11.24 per barrel.
The sharp decline was largely driven by the COVID-19 pandemic, which has severely impacted demand for the commodity, as well as a lack of storage space.
Just last week, the US recorded its largest weekly decline in active oil rigs in over five years, further exacerbating the situation.
The ongoing Saudi-Russia price war has also contributed to the decline in oil prices, which have been exacerbated by the failure of last week's landmark OPEC+ agreement to cut production by 10 million BPD to calm the energy markets.
