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Crude oil continued to plunge, despite brief bouts of aggressive risk-on trading which pausing the rout periodically, strategists at TD Securities inform. WTI is trading at 22.994.

Key quotes

“The problem is supply-demand fundamentals, not just the lack of risk appetite, illiquid markets, and volatility.”

“We can safely say that global demand is likely to drop by 4.3m bpd year-over-year.”

“We are well-founded to say that WTI crude prices could go down into the teens if not lower.”

“Crude oil will recover toward the low $40s once OPEC+ plus comes to a supply control agreement and there is more certainty surrounding the timing of when the negative impact of COVID-19 will dissipate.”