Due to oversupply, it is difficult to find a space to store WTI crude oil. There is no place to store it, so the price of this commodity is practically worthless.
This is not petroleum milk. You can just dump it when you don't need it. Even if you don't need oil, you should have professional transportation and treatment, otherwise it will pollute the environment. So compared with breach of contract and environmental pollution, the consequences of the money you posted are much lighter.
So, for every 1 dollar dropped, they will give you 1 dollar and let you take them away.
For futures traders, if the long-term contract in May is not settled, it means that they will receive the oil spot and only have a few days to tell the seller how to receive it. At this time, all crude oil warehouses in Cushing area have been booked up, and the oil storage market is in poor condition, and the inventory is close to full capacity. If forced delivery, the cost of oil storage will be much higher than the loss of liquidation.
Although negative oil prices cannot accurately reflect the current economic fundamentals, they still cast a shadow over the future of the global economy. Affected by supply (oil production technology, geopolitics, production reduction agreement, internal rebellion of OPEC, etc.). ).) and demand (global economy, operating rate of refineries in China and the United States, etc. ), oil prices may rebound slightly from the current extremely low level in two months, and remain low for a long time in the next 1-2 years.
Million car purchase subsidy