Oil rockets nearly 20% as investors hail coronavirus stimulus spending – for now
TOKYO: Oil prices surged as much as nearly 20 per cent on Thursday, bouncing back from days of heavy losses in a relief rally that may yet be short-lived, analysts warned, but which was stoked by economic stimulus efforts to ward off a global coronavirus recession.
Brent crude was up $2.10, or 8 per cent, at $26.98 a barrel by 0028 GMT after tumbling 13 per cent on Wednesday in a third day of relentless selling. US oil gained $3.44, or 17 per cent, to $23.81 a barrel after slumping nearly 25 per cent in the previous session.
“After a 24 per cent crash, oil prices are firming up on some selling exhaustion and as US and European leaders unleash … aid and stimulus,” said Edward Moya, senior market analyst at OANDA in New York.
