US oil price plummets to unprecedented levels: Is this the "new normal"?

Waning OPEC influence to change industry dynamics

The chronic oversupply of oil and subsequent price plummet will have a "lasting impact" on the commodity and spells "trouble ahead" for investors in the asset class, according to some investment professionals.

Others, however, believe yesterday's price action was a "peculiarity of futures trading" and will not be "the new normal going forward", therefore opening up a "vast" opportunity set for investors. Yesterday evening (20 April), US West Texas Intermediate (WTI) oil fell to minus $37.68 as producers began paying buyers for barrels due to storage concerns, as the pandemic-induced lockdown continues to weigh on demand for the commodity. Market Movers Blog: FTSE down 1.7% in first 30 minutes of trading following oil price crash It staged a small recovery this morning to $1.40 per barrel...