Oil prices shed more than 6% on Tuesday, with investors apparently unconvinced that record supply cuts could soon balance markets pummeled by the coronavirus pandemic, though a predicted plunge in U.S. shale output provided some support. U.S. West Texas Intermediate crude was down $1.50, or 6.7%, to trade at $20.91 per barrel, having dropped 1.5% in the previous session. Brent futures fell $1.70, or 5.4%, to $30.03 per barrel after settling up 0.8% on Monday.
Oil prices remain more than 50% down this year. Rystad Energy’s head of oil markets, Bjornar Tonhaugen, said that implementation of the international deal would be a logistical challenge that would take weeks at least. “Reducing upstream supply is not just turning off the tap or pushing a button. We would be surprised to see overall OPEC+ compliance at 50% through May,” he said. Inventories, where available, are expected to fill up fast even as some countries among the G20 group of nations agreed to buy oil for their national reserves.
In China, where the virus started and is now largely under control, demand appears to be returning, with data showing that crude oil imports rose 12 percent in March from a year earlier. Supporting prices, U.S. shale oil output is expected to register a record monthly drop in April, the U.S. Energy Information Administration (EIA) said on Monday.
Source: CNBC
Finnish site 
Global site