Following the Galt and Taggart Global Market Review, large oil-producing companies, such as BP and ExxonMobil, ended this year incurring losses for the first time over decades.
In 2020, the BP sustained $5.7 bln in 2020, whereas the ExxonMobil $22 bln.
It is noteworthy that, according to the Galt and Taggart economic review, oil-dependent economies shrank by 3.4-4.3% in 2020.
"Demand shock has resulted in record-low global oil prices, $ 37 in April of 2020. However, cuts by oil-producing countries in production caused an increase in oil prices again, with them settling at $ 30-40 per barrel. Oil prices have reached $ 50 by the end of 2020," the review reads.
After March of 2020, WTI crude oil price passed $50 in January of 2021 for the first time.
Specialists say better prospects and the expectation that the countries' economies would have reopened resulted in an upward trend in oil prices in November of 2020.
In October, the price of both oil and gold dropped.
It is expected that Saudi Arabia will start voluntary reduction of oil production (per million barrels daily) in February of 2021 and will keep doing so before April, with this allegedly contributing to stable oil prices.
