Delayed Saudi Arabia-Russia talks cause oil price drop

Oil

Global oil prices are down after Saudi Arabia and Russia postponed a meeting on a deal to cut output, as the coronavirus pandemic hits demand. Oil prices slipped more than $1 a barrel on Monday. Talks have been pushed to April 9.

The two countries – the world’s leading exporters – have recently been locked in an oil price war, causing prices worldwide to drop.

Traders are concerned that, with large parts of the world in lockdown due to coronavirus, there will be too much crude available, putting pressure on prices.

Brent crude LCoc1 slipped close to $30 a barrel in early trade and was at $32.82 by 0203 GMT, down $1.29, or 3.8%. West Texas Intermediate (WTI) crude CLc1 fell $1.66, or 5.9%, to $26.68 a barrel, after earlier touching a low of $25.28.

Last week, crude prices soared after US President Donald Trump suggested that an agreement was imminent. Trump said he would impose tariffs on crude imports if necessary to support U.S. oil sector.

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