A mosque compound islams 3rd holiest site is closed during ramadan because coronavirus restriction. The dramatic drop in oil prices over the past few weeks has contributed to the economic fallout from the Global Pandemic and agreement decided among the worlds Top Producers to cut output has now come into effect and it appears that the deal came to be only after President Donald Trump reportedly pressured saudi arabia threatening to withdraw u. S. Military support for riyadh saw a bit of it reports. Oil and water do not mix but politics in oil bond very well there is no official transcript of the conversation between the u. S. President and the Saudi Crown Prince which resulted in saudi arabias latest Oil Production cut reports suggest president all trump told muhammad bin sole man that u. S. Forces stationed in the kingdom could be withdrawn if saudi arabia did not stop flooding the market with cheap crude within days riyadh announced production cuts and ended its Oil Price War with ru
Oil price crashed below 0 and then kept on going into negative territory our economics editor abby dallies in london he says the glut in oil supplies is a global problem that needs a coordinated multinational response. Theres more than 35000000. 00 barrels in circulation which out which which are not useful to anybody at this present time and so we need to figure out how to get rid of those 35000000. 00 bows that would mean russia United States and saudi arabia shutting down production but thats not practical because if you shut down press corps you can damage wells so it needs a collective help from from everyone around the world the other thing that the United States can do is rig is that off the Strategic Reserve to allow corporations to actually store away their oil in those corporate in those that are in the Strategic Reserves and thats something that were going to consider and the u. S. Is also considering haint Oil Companies to keep oil in in the oil wells so that they dont pump
Going hungry around the world. No vaccine but that doesnt mean you know how we look at the different drugs and treatments being used to treat cope with 19. With the pandemic throwing world oil markets into turmoil donald trump says his government will look to support the domestic industry the president says hes told the energy and treasury secretaries to formulate a plan to make Funds Available to ensure the survival of american oil and Gas Companies that follows an unprecedented collapse in the u. S. Prices because of a glass in supply the u. S. Futures market dive deep into negative territory for the 1st time ever on monday the lowest the price of the u. S. Benchmark w t i sank was to minus 37. 00 a barrel the International Benchmark the brant crude on the other hand well thats trading at around 20. 00 a barrel thats still the lowest price its traded since the september 11th attacks in 2001. We begin with our White House Correspondent kimberly how could she joins us from washington d
Why did u. S. Oil prices hit negative territory an unprecedented fall in American Crude Oil sales has added to the hardships caused by coronavirus so what will that mean for the u. S. And the Global Economy this is inside story. Hello and welcome to the program im Richelle Carey thats one of the worlds most valued commodities but the coronavirus lockdowns to overturn the dominance of oil the worth of a barrel of u. S. Oil fell to less than nothing on monday thats the 1st time in history the price has turned negative so this means producers ended up paying buyers more than 30. 00 a barrel to get oil off their hands it rebound a slightly shit disturber 2 dollars the next day that jaw dropping slide this because the world has more crude that it could use and Storage Facilities and even ocean tankers are filling up oil is traded on future contracts and fears of not finding a place to put oil in may means nobody wants crude thats led to a severe drop for west texas intermediate a benchmark
Will accept junk, recent fallen angels as collateral. Time now for todays market moving news from brussels in new york. We want to begin in europe, where the pandemic drove the economy to a record slump in april. Pmi Area Services completely decimated, falling to 11. 7. Manufacturing also dropped to 33. 6. Bloombergs maria tadeo joins me from brussels. Maria what you are seeing is that the Coronavirus Crisis is going to do a lot of damage to the european economy. [indiscernible] brussels tell us they do anticipate a contraction for the entire euro area. This is potentially huge. Youre seeing again the European Central bank stepping in to try to shield some of those markets, in particular in countries like. Taly ,he other side of the equation what exactly are european leaders going to do to help the ecb, to put more money on the table and also protect their own economies . There has been a lot of backandforth. Perhaps a 2 trillion euro package. But all of this is still very much in the