Oil Prices Slump as Crude Storage Shortage Intensifies

The swelling glut of oil has outweighed efforts by producers to curb production

The coronavirus pandemic has emptied out cities around the world, causing a historic drop in oil demand just as production was reaching new highs. WSJ explains the oil price bust that could reshape energy markets.

Oil prices extended their declines Monday as storage space ran low for the glut of crude no longer needed by economies hard hit by the coronavirus.

The June contract for West Texas Intermediate futures, considered the benchmark for U.S. crude prices, dropped 11% to $22.29 a barrel. Brent crude oil, the global benchmark, fell 6.3% to $26.34 a barrel.

Last updated on Mon., April 20, 2020.