Oil prices drop to $40, traders fear the new COVID-19 wave

Oil prices fell today to $40 on international markets, due to new cases of coronarys, which put promises of positive drug test results against this disease in second place.

In the London market, the price of an oil barrel fell by 61 cents compared to previous closures, or $40.35. On the American market, a barrel was traded at 74 cents less or 37.64 dollars.

Price support is provided by media reports US President Donald Trump's cabinet is preparing a $1 trillion package of measures that envisions building infrastructure to strengthen the economy at the time of the coronary crisis.

Traders also fear escalation of tensions in the Korean Peninsula, as North Korea rejected an offer from its southern neighbour to send a special emissary and announced the sending of troops to the demilitarised border zone.

The decline in prices prevailed because of new cases of coronary infection. Beijing thus canceled numerous flights and closed schools in order to prevent the spread of the virus in the new wave of the epidemic, which again pushed concerns about the demand for energy into the air.

The expectations of directors of Asian companies fell in the second quarter to the lowest level in 11 years, according to Reuters and INSEAD research. Two-thirds of respondents believe the worst risk in the next six months will be the deterioration of the COVID 19 pandemic.

Pandemia has hampered economic activity and thus demand for oil. Thus, Japanese oil imports drowned at their lowest level in nearly three decades in May. Japan is the world's fourth largest oil buyer.

Analysts from Standard Chartered warn of the risk of falling prices in the medium-term plan, while the good news is that the results of clinical trials have shown that the cortichosteroid dextation lowered the death rate by one-third of the affected by COVID-19, according to Reuters.