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Market Overview
A Historic Day for the Oil Market
Yesterday was a historic day for the financial markets and especially for the oil market. The May futures contract for crude oil came to a negative level of $ 40. This ended up bringing a great aversion to risk, especially in the United States.
In particular, in the United States the Dow Jones index fell by 2.44% while the S&P 500 index fell by 1.79% and the the Nasdaq index fell by 1.03%. In Europe, its benchmark index - Stoxx 600 - appreciated by 67%.
In the debt market, yields fell yesterday with the aversion to risk that was felt throughout the day.
Yesterday was also a historic day due to the quotation of oil prices. The West Texas Intermediate (WTI) May futures contract ended at a negative value of -37.63 Dollars per barrel (after reaching a negative value of 40 Dollars), something that has never happened before. This means that the holder of a long position would be required to pay to take the contract out of his or her hands. The reason given for this decline is precisely the fact that storage spaces for oil are almost full, meaning that these inventories should be emptied so that its price can get back at least the digit positive.
The "yellow metal" has continued to fall after rising over the past few days.
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