Oil prices rose sharply yesterday (April 2) following a tweet from US President Donald Trump. Trump said he had reached an agreement with Russia and Saudi Arabia to cut oil production. But is that really true?
In the hours that followed, oil prices rose by tens of percent to almost $30 per barrel, the highest level since mid-March. After that, the price dropped again a bit. Because Trump's tweet is being questioned by analysts.
It is not at all certain that Saudi Arabia and Russia have decided to reduce oil production. Even before the corona crisis took hold, the major oil-producing countries worldwide were already competing to regulate production volumes.
Unemployment US
Trump's new attempt to reduce oil production worldwide and thereby increase the oil price may be prompted by threatened bankruptcies in American shale gas production. As a result, unemployment can become even more dramatic. There are now 10 million people on the streets in the United States as a result of the corona crisis, the Financieele Dagblad reported this morning (Friday, April 3).
Number of corona deaths in the US
It was also announced that the United States has recorded the highest number of deaths from the coronavirus in 1 day in 1 country. It is not known whether this is also the highest figure as a percentage of the total population.