Why Oil Prices May Be Set To Fall Further

The main oil benchmarks fell below $40 a barrel again this week as clouds gathered over the outlook for demand and supply amid a surge in Covid-19 cases in Europe and the United States. And they might have further to fall. Reuters’ John Kemp reported on Tuesday that hedge funds had sold enough oil last week to offset the previous week’s purchased that supported prices at around $40 a barrel. But now, the resurgence in Covid-19 is fueling fears of a double-dip recession in two key markets, driving a warier attitude to crude oil. Rystad…