While prices have recovered somewhat since then on hopes that OPEC and Russia may agree to cut production, it's still "clearly good timing" for the world's largest importer of crude to step in and snap up whatever it can, according to Dennis Ip, head of China and Hong Kong energy research at Daiwa Capital Markets.
mandag 13. april 2020
China has been stockpiling oil for years. Low prices give it reason to buy more
Oil is cheaper right now than it has been in years. That's great news for China — the world's second largest consumer of oil and its biggest importer — which has been building up huge reserves and needs energy to restart its economy. US oil futures and Brent crude cratered to 18-year lows last month as demand collapsed because of lockdowns sparked by the coronavirus pandemic, and as Saudi Arabia flooded the market with additional supply in a price war with Russia.
While prices have recovered somewhat since then on hopes that OPEC and Russia may agree to cut production, it's still "clearly good timing" for the world's largest importer of crude to step in and snap up whatever it can, according to Dennis Ip, head of China and Hong Kong energy research at Daiwa Capital Markets.
While prices have recovered somewhat since then on hopes that OPEC and Russia may agree to cut production, it's still "clearly good timing" for the world's largest importer of crude to step in and snap up whatever it can, according to Dennis Ip, head of China and Hong Kong energy research at Daiwa Capital Markets.
