Oil surged the most ever in New York as the U.S. president said he could get involved in the standoff between Saudi Arabia and Russia that has rocked crude markets. U.S. futures rose 24% on Thursday, the most since trading began in 1983. Prices are still down almost 60% this year, with the slide accelerating following a failed OPEC+ meeting in early March, after which major producers pledged to pump more in a battle for market share just as the coronavirus crisis crushes demand. U.S. President Donald Trump said he was searching for “medium ground” in the impasse.
“It’s very devastating to Russia, because the whole economy is based on that, and they have the lowest prices in decades,” he said. “I would say it’s very bad for Saudi Arabia. But they’re in a fight, they’re in a fight on price, they’re in a fight on output. At the appropriate time I’ll get involved.” “Trump getting involved was bound to happen with the existential threat to the oil industry,” said Walter Zimmermann, chief technical strategist at ICAP Technical Analysis. “This rebound may not have a future though unless Saudi and Russia stop digging their heels in.”