Dow Jumps 2% to the Rumor of Russia-Saudi Oil Talks, Crude Prices Soar 24% Overnight!

Stocks in Wall Street edged higher by 2% on Thursday in response to the rumor about Saudi Arabia and Russia’s agreement to cut oil output by upto 15 million barrels per day which made WTI to jump 24% and Brent 17% over the night.

 

Dow Jones jumped 469.93 points or 2.24% to 21,413.44 points, while S&P 500 gained 2.28% and Nasdaq rose 1.72%. The U.S. stocks all rose despite the announcement of 6.65 million people filing for unemployment benefits in the past week.

 

Yesterday, the U.S. President Donald Trump said that he had spoken to the crown prince of Saudi Arabia Mohammad Bin Salman, who also had spoken to President Vladimir Putin, and expected an oil cut upto 15 million barrels per day.

However, Russia denied the news by saying that there were no conversations between the Kremlin and Riyadh, and so far there were no plans for such talks.

 

Still, both the Dow Jones and S&P 500 remain more than 25% below their respective all-time highs in February as the global market set back in fear of the coronavirus outbreak.