Oil prices advance with boost in crude imports

Published:

On: Aug 2020

On Monday, oil prices jumped higher, lifted by the plans of China to ship huge volumes of the United States crude imports in August and September, outweighing worries over a downturn in demand recovery after the COVID-19 pandemic and a gain in supplies. Chinese state-owned oil companies have tentatively recorded tankers to transport around 20 million barrels of crude imports for next two months as Chinese speed up energy and farm purchases ahead of the China and US trade deal.

Reportedly, the crude imports from the globe’s leading importer China and the easing of coronavirus limitations across the world have supported oil prices, although new waves of COVID-19 outbreaks in several nations are anticipated to cool consumption again. 

As per the estimations, the demand has increased eight million barrels per day over the last 4 months to 88 million barrels per day, still 13 million barrels per day below this time previous year. Investors are looking forward for more clues on futuristic supply from a meeting this week of a panel showcasing ministers of the Organization of the Petroleum Exporting Countries(OPEC) as well as its allies. The meeting of the panel has been moved back to August 19, a day late than previously planned.