Oil posts worst weekly loss since April 2020 as bank chaos slams sentiment
Crude oil closed with the worst weekly loss in nearly three years, as the failure of Silicon Valley Bank and troubles at Credit Suisse chased nervous investors out of risky assets.
Front-month Nymex crude (CL1:COM) for April delivery closed -12.9% for the week at $66.74/bbl, its lowest settlement value since December 3, 2021, while May Brent crude (CO1:COM) ended -11.8% for the week to $72.97/bbl, its worst settlement since December 20, 2021, and the biggest weekly drop since last August.
Also, U.S. natural gas (NG1:COM) for April delivery ended the week -3.8% to a three-week low $2.338/MMBtu.
ETFs: (NYSEARCA:USO), (BNO), (UCO), (DBO), (SCO), (USL), (DRIP), (GUSH), (USOI), (NRGU), (UNG), (UGAZF), (BOIL), (KOLD), (UNL), (FCG)
OPEC+ members said they expect the oil market will stabilize, attributing this week's price weakness to financial drivers rather than any supply and demand imbalance.
Also, analysts expect China's demand recovery to add price support, as U.S. crude exports to China in March are heading for their highest levels in nearly two and a half years.
The Energy Select Sector SPDR ETF (NYSEARCA:XLE) fell 6.8% for the week.
Top 10 gainers in energy and natural resources during the past 5 days: (EOSE) +28%, (CMCL) +27.7%, (OPAL) +27.2%, (EQX) +25.7%, (NFGC) +23%, (GFI) +22.1%, (SAND) +21.1%, (EXK) +20.5%, (AG) +20%, (DC) +19.8%.
Top 10 decliners in energy and natural resources during the past 5 days: (NEXT) -31.3%, (AE) -24.8%, (TNP) -22.7%, (BATL) -22.6%, (GTLS) -22.1%, (AZRE) -21.5%, (NINE) -20.5%, (NBR) -19.4%, (TUSK) -19.3%, (BRY) -19.3%.