Edward Moya, senior market analyst at OANDA, said that the rally in the fuel prices ended due to a sharp rise in oil reserves and a worsening epidemiological situation in the country.
Analysts had predicted that the US oil reserves would fall by 2.1 million barrels. However, according to the American Petroleum Institute, US oil reserves rose by 7.5 million barrels to 531 million in a week.
In Japan, the world's fourth largest oil consumer, the economic situation is also difficult due to the influence of the coronavirus. The manufacturing activity of the country continues to drop. Hopes for a quick global recovery are becoming increasingly illusory.
Brent crude dropped by 0.45% to $44.12 per barrel. At the same time, WTI futures declined by 0.55% to trade at $41.69 per barrel.
US President Donald Trump said that positive changes in the country would not happen soon. The situation with the coronavirus is only getting worse, that is why the President urged Americans to wear masks.
For the first time Trump recognized how alarming the situation in the country is. Since the beginning of the epidemic in the United States, almost 4 million people have been infected with the virus. About 142,000 people died. More than 1,000 people die from COVID-19 in the United States every day.
