Futures shock: On oil price fall listed below $0

Five decades after the oil shock of 1973, when an Arab embargo on the supply of oil to some western powers including the United States sent out the rate of unrefined increasing fourfold to $12 a barrel, the global economy deals with a fresh shock from a free-fall in oil rates. On Monday, May futures for the West Texas Intermediate (WTI) U.S. unrefined plunged below zero to touch a historical low of -$4032 a barrel. A negative price implies that a seller would have to pay the purchaser to hold the oil to be supplied. While the unprecedented plunge in the specific futures agreement could be partially rationalized as a technical abnormality considered that the Might agreement was set to expire on Tuesday, beyond which purchasers would need to be prepared to take physical delivery, t