Oil Slips, Set For 20% Annual Drop In Tumultuous 2020

NEW YORK:Global crude prices slipped on Thursday and lost more than a fifth of their value in volatile trade in 2020, as lockdowns to combat the novel coronavirus depressed economic activity and slammed fuel demand.

Still, Brent and U.S. crude benchmarks have more than doubled from April’s decade lows. The start of coronavirus vaccinations bolstered demand in the fourth quarter, and prices recovered to the highest in about 10 months.

On the last trading day of 2020, Brent fell 49 cents, or 1%, to $51.14 a barrel as of 10:49 a.m. EST (1549 GMT). U.S. West Texas Intermediate fell 44 cents, or 0.9%, to $47.96 a barrel. Brent was on track to fall 22.5% for the year, with WTI due to drop 21.4%.

Prices for 2020 bottomed in April as fuel demand collapsed due to the COVID-19 pandemic and a price war between oil giants Saudi Arabia and Russia. WTI plummeted to a record low negative-$40.32 per barrel, while Brent fell to $15.98 barrel, the lowest since 1999.

From there prices drifted higher…