Price of oil will skyrocket when the economies of countries open up. That will spur greater oil consumption overnight like a volcano spewing up ash and lava flowing in huge quantities. That could happen within the next 2 months. This step stabilizes oil prices. Saudi Arabia was not going to win this oil price war anyway. Russia supplies natural gas to Europe in huge quantities so, they have revenue coming in even if they take a loss on the oil. Saudi Arabia burned its cash reserves yet, again. They still have to buy food and US weapons. Expensive to wage war in Yemen and other countries. They tried to destroy US shale oil before and used the same stunt and failed. It only hurt them. Now breakeven for Saudi Arabia and US shale oil producers is at $40 a barrel. US shale oil producers just stopped pumping oil and stored their oil in rented oil tankers they parked near Asia where demand is heaviest. When prices rise, US shale oil producers can sell that oil.
So what are you trading? I'm in APA HAL UCO OXY from last week, will likely sell premkt if big gap that fades, will reenter if they go up.. . Ca-ching
Meh, figures. I picked up some MRO APR 17 $6 calls for 5 cents a couple weeks ago, but sold them already because I didn't think they'd go up anymore before expiration. I'm going to be mad if those end up a 10 or 20 bagger on monday.