Key Crude Oil Benchmark Hits Record Low as Coronavirus Intensifies
A key crude oil benchmark -- dated Brent crude -- has tumbled to record lows against Brent crude futures. The difference between the two prices is now unprecedented, at more than $10 a barrel. That indicates that the market's short-term outlook for oil companies like ExxonMobil (NYSE: XOM) and Royal Dutch Shell (NYSE: RDS.A) (NYSE: RDS.B) is worse than their long-term hopes for the industry.
This comes as Brent futures have been boosted by an upcoming meeting between President Trump and oil industry leaders, and news that China plans to buy oil to fill its strategic reserves, which have given investors hope that oil prices may eventually rise.
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Source Fool.com
