One of the main reasons why the coronavirus-induced price slump feels so odd is that it is accompanied by a prolonged price war that has simultaneously dropped crude differentials, in many instances to levels unseen in the past 8-10 years. The price war was started by Saudi Arabia’s national oil company Saudi Aramco mid-March when it cut its April prices by $6-7 per barrel month-on-month, in a move that was at the time perceived as Riyadh’s claim to safeguard or even increase its market share come what may, a strategy that was continued…
