money and business
Bloomberg believes that oil traders and brokers are the biggest beneficiaries of the price war between Russia and Saudi Arabia, which pushed black gold prices to their lowest levels in years.
The agency says in a report published recently, that oil traders are betting on the future, as they buy and store oil now in the hope of selling it in the future and making profits when prices return to the rise.
As an example, she indicated that the Vitol group, which is the largest independent oil trading group in the world, had seized oil tanks in South Korea, while other companies had booked tankers to convert them into floating storage facilities.
And, “Bloomberg”, that oil traders have achieved millions of dollars in similar crises in the oil markets in the past, noting that “Vitol” earned in 2009 about 2.3 billion dollars, in addition to millions of dollars earned by oil trading companies.
Oil prices have now reached a level known in the market as “Kontango”, meaning that oil futures prices are lower today than in the future. And prices had fallen after Saudi Arabia announced its intention to pump record quantities of crude in April, after OPEC + countries failed to agree to extend current production cuts.
Oil prices are currently trading at the level of $ 30 a barrel, after it was the beginning of this year at the level of $ 66 a barrel, the following is a graphical trend that shows the trading of a barrel of “Brent” about a year ago: