#HistoricalDropInOilPrices; #OilPriceWarBetweenRussiaAndSaudiArabia; #CoronavirusFear
New York, Mar 09 (Canadian-Media): An historic overnight collapse in oil prices occurred after Saudi Arabia waged a oil price war against Russia, media reports said.
Oil & Gas Industry. Image credit: Twitter handle
Russia did not comply with OPEC's request to cut its production to rescue the coronavirus-afflicted oil market at a meeting in Vienna on Friday. Instead, it resorted to drop its oil prices which sparked a 10 percent plunge in oil prices Friday.
Founded in 1960 in Baghdad and headquartered since 1965 in Vienna, Austria OPEC is an intergovernmental organization of the Petroleum Exporting Countries of 14 nations.
Russia's move led Saudi Arabia over the weekend to slash its April official selling prices by $6 to $8, in an effort to put pressure on Russia and retake market share.
The war over slashing of oil prices between Russia and Saudi Arabia resulted in US oil prices crash of 34 percent to a four-year low of $27.34 a barrel.
Crude was recently trading down 27 percent to $30.04 a barrel. Brent crude, the global benchmark, plunged 26 percent to $33.49 a barrel. Both oil contracts are facing their worst day since 1991, according to Refinitiv, a global provider of financial markets data and infrastructure.
Already panicking stock markets, due to novel coronavirus outbreak, were also rattled.