Oil prices lost up to a third of their value today, Monday, in their biggest daily loss since the Gulf War in 1991 (29 years ago) after the group known as OPEC Plus failed to reach an agreement on reducing production, ending a cooperation that lasted for more than three years to support the market. The group includes OPEC countries as well as independent producers, including Russia.
The group disintegrated after Russia was reluctant to make another significant cut, proposed by the Organization of Petroleum Exporting Countries (OPEC) to stabilize oil markets, while the outbreak of the Corona virus already caused an oversupply in the market.
By 10:00 GMT, Brent crude futures fell 22% at $ 37.05 a barrel, after dropping earlier 31% to $ 31.02 a barrel, the lowest level since February 12, 2016.
And US West Texas Intermediate crude fell more than 24% to 33.20 dollars a barrel after initially plummeting 33% to 27.34 dollars, which is also the lowest level since February 12, 2016.