In an interview with Gazeta.Ru, he recalled that April 20 was the last day of trading in May WTI oil futures.
“Apparently, those who kept them to the last counted on a profitable sale. But in fact, a situation occurred when buyers did not want to buy futures, not realizing whether they would be able to guarantee delivery and storage of this oil in physical terms in May. Therefore, these paper futures were sold for nothing with a negative cost, ”said the head of the Ministry of Energy.
He explained that futures sellers were actually ready to pay extra to buyers for taking this oil from them.
According to Novak, the situation that has developed on the May futures, including affects the June trade.
Earlier, an expert at the Financial University under the Government of Russia, a leading analyst at the National Energy Security Fund, Igor Yushkov, in an interview with Sputnik radio, commented on the situation with oil prices.