Views:1 Author:Site Editor Publish Time: 2020-04-29 Origin:Site
U.S. oil prices crashed to the negative territory for the first time in history on Monday, fueled by pandemic-related demand shock and oversupply fears. The West Texas Intermediate (WTI) for May delivery shed 55.9 U.S. dollars, or over 305 percent, to settle at -37.63 dollars a barrel on the New York Mercantile Exchange, implying that producers would pay buyers to take oil off their hands. It marked the first time an oil futures contract has traded negative in history, according to Dow Jones Market Data. WTI crude oil futures prices plummeted because traders were forced to close long positions to avoid buying physical crude without storage capacity. Increasing pressure has caused crude oil to plunge to a negative value in recent months, and the polyester industry also witnessed high inventory burden.
Based on the Customs statistics, exports of textiles and apparels in China decreased by 20% in Jan-Feb, 2020, down by 8% on the year, which was mainly attributed to the Sino-US trade conflict and the COVID-19 outbreak. Some foreign orders were canceled or delayed amid the pandemic in Mar, while Mar was supposed to be see greatly recovering export by convention. Exports of textiles and apparels kept falling substantially in Mar, and the y-o-y decrement in the first quarter of 2020 was at 20%.