Crude Oil Prices are shaking due to uncertainty and growing Coronavirus (COVID-19) threats. Goldman Sachs, a financial and global market watchdog has predicted the falling prices of crude oil which could hit as low as $20 a barrel by the end of 2020.
When Goldman Sachs predicted the future price of oil it was trading at above $50 a barrel, a sudden steep decline in the prices was witnessed after February 20 now the prices dropped by 31% from the past week prices. Today Crude oil hit the lowest price of $25 a barrel in the global market. The price was dropped from $43 to $25 in a single day.
At the time of writing the crude oil was trading at $31.50, financial experts are even speculating the price to hit $10 a barrel. According to the latest reports, Saudi Arabia and Russia are now confronting each other in a price war which would result in further price declines; secondly, the looming threat of Coronavirus also plays a critical role in shaping future prices.
Petrol Prices In Pakistan
In Pakistan, the petrol price was set to Rs.117 per liter when the oil was trading above $50 a barrel, however, the price was reduced in March to Rs.112 after a little decline in the global market. The prices are going to be 5X times less than the previous price which comes to Rs23.4 per liter if the price reaches $10 a barrel. Even if the price is not slashed by the government according to the international market the people would still be able to get the price lower than Rs.50 per liter.