Crude oil price hit the roofs on hopes of Vaccine against COVID-19
Crude oil prices increased rapidly on Monday on hopes of vaccine against COVID-19 and joint actions by OPEC+ allies to keep grip on supply of oil. The global bench mark Brent Crude oil price hopped 9 percent to more than $43 a barrel and the stock market around the world hop in middle of an end to global economic lockdown.
Vaccine
US pharmaceutical lead Pfizer and its German partner BioNtech said that their new drug indicated a 90 percent effectiveness rate. The drug was tested on 40,000 people. The final hurdles will be passed for US rollout in this month. They could supply up to 50 million doses globally this year and 1.3 billion next year.
Pfizer Chief Albert Bourla said that they are a step closer to provide the world a much needed breakthrough to help end this health crisis.
In an energy conference in Abu Dhabi, Saudi Energy Minister Prince Abdul Aziz bin Salman said: “We’re hopeful that a solution to mitigate the virus in the form of a vaccine, and the spread of the vaccine availability, would be the most meaningful mitigator of the situation.”
He also stated the prospect of further action to control oil supply, which soared recently and forced price lower. He gave the initial indication that Saudi and Russia may alter the current supply deal. OPEC+ is to restore 2 million barrels of oil per day to global markets from January but as per speculations it might tweak timings. It is predicted by some energy experts that current level of cuts, 7.7 million barrels per day could be maintained for next three months.
Prince Abdul aziz said that without the OPEC+ deal, the oil price would be even low. He said OPEC+ can deal with extra supplies if Noe Biden allows Iran to export oil again with relaxations.
