Signs of stabilization in oil markets? – Westpac

In the view of the analysts at Westpac, both crude benchmarks seem to have stabilized following the recent rout triggered by the China coronavirus outbreak.

Key Quotes:

“After 5 sessions of steep declines that saw a 12% drop in WTI and 10% drop in Brent, we saw some signs of stabilization in both markers as traders weighed up the extent to which the coronavirus would hit demand.

Saudi Arabia suggested that it saw “very limited impact on demand” and newswires noted that Libyan output “may almost fully halt within days”. WTI is up 43c at $53.57 and Brent up 33c at $59.65.”