# Oil Slide Reaches $50 a Barrel After Virus Curbs China Demand - Bloomberg

> New York oil futures sank to their lowest levels in a year as oil demand in China, the world's largest importer, reportedly fell by about 3 million barrels a day. The drop was attributed to people with inside knowledge of the country's energy sector.

- Date: 2020-02-03 · published 2020-02-03T12:00:00.000Z
- Category: disease · region China · magnitude medium
- Page: https://feedsoft.ai/events/7407-oil-slide-reaches-50-a-barrel-after-virus-curbs-china-demand-bloomberg
- Commodities: [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md)

## Why it matters

A roughly 3 million barrel per day demand loss is a large share of global consumption, which pressures crude and diesel prices lower. Weaker energy prices also reduce the cost advantage for biofuel feedstocks.

## Read by commodity

- WTI: bearish ▼
- BRENT: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| BRENT | 2020-02-04 | 5 | -9.3% | -2.8 | Reported ~3 mb/d drop in Chinese oil demand drove the Feb 3 slide to ~$50 WTI, a direct demand shock inside the window. |
| BRENT | 2020-02-03 | 1 | -6.5% | -4.3 | Same-day report of a reported ~3 mb/d fall in Chinese oil demand pushed futures sharply lower, a direct demand-shock mechanism. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2020-01-23 | [Oil falls 3% as specter of China virus threatens fuel demand](https://feedsoft.ai/events/12377-oil-falls-3-as-specter-of-china-virus-threatens-fuel-demand.md) | -6.1% | -5.3% |
| WTI | 2020-02-04 | [Oil extends decline as virus hits China demand \| Daily FT](https://feedsoft.ai/events/7410-oil-extends-decline-as-virus-hits-china-demand-daily-ft.md) | -1.0% | -5.7% |
| WTI | 2020-01-27 | [Oil drops below $60 as China virus drives demand concern \| Fox Business](https://feedsoft.ai/events/54975-oil-drops-below-60-as-china-virus-drives-demand-concern-fox-business.md) | -4.7% | -5.1% |
| WTI | 2020-01-28 | [Diesel Slump Turns Into a Rout as Virus Locks Down Cities - Bloomberg](https://feedsoft.ai/events/12371-diesel-slump-turns-into-a-rout-as-virus-locks-down-cities-bloomberg.md) | -5.7% | -6.2% |
| WTI | 2021-11-26 | [Oil crashes as coronavirus strain threatens demand recovery \| Oil and Gas News \| Al Jazeera](https://feedsoft.ai/events/4773-oil-crashes-as-coronavirus-strain-threatens-demand-recovery-oil-and-gas-news-al.md) | -15.0% | -5.7% |
| BRENT | 2020-01-23 | [Oil falls 3% as specter of China virus threatens fuel demand](https://feedsoft.ai/events/12377-oil-falls-3-as-specter-of-china-virus-threatens-fuel-demand.md) | -4.8% | -5.2% |
| BRENT | 2020-02-04 | [Oil extends decline as virus hits China demand \| Daily FT](https://feedsoft.ai/events/7410-oil-extends-decline-as-virus-hits-china-demand-daily-ft.md) | -1.6% | -3.7% |
| BRENT | 2020-01-27 | [Oil drops below $60 as China virus drives demand concern \| Fox Business](https://feedsoft.ai/events/54975-oil-drops-below-60-as-china-virus-drives-demand-concern-fox-business.md) | -3.4% | -2.4% |

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2020-02-03/oil-deepens-losses-as-china-s-demand-slumps-on-coronavirus

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.