Oil prices slide into bear market on сoronavirus сoncern

Even as OPEC and Russia consider an emergency production cut, oil is tanking and the outlook for prices is getting dimmer. West Texas Intermediate crude futures were below $50 per barrel in late trading Monday, after closing at $50.11, a decline of 23.7% from its Jan. 8 intraday high of $65.65 per barrel. WTI first fell more than 20% from that level on Jan. 27 on an intraday basis, putting it in a bear market, according to Refinitiv data. Brent crude prices plunged nearly 4% Monday and was down 24% from its January high, when it closed at $54.45 per barrel.The Organization of Petroleum Exporting Countries, and Russia have reportedly held preliminary discussions about expanding their production cuts, in place since 2016. The joint technical committee that monitors the progress of the group’s market efforts was expected to meet this week to discuss the impact of the coronavirus on oil demand and potential action.Oil prices were slammed Monday, as the virus continued to spread and cruise ships became a bigger concern. Japan quarantined Carnival’s Diamond Princess, after a Hong Kong man who sailed on it last month tested positive with coronavirus. The 80-year old had flown to Japan to board the ship, which had 2,666 passengers and 1,045 crew on board.Fears the virus could impact cruise ship bookings or even curb cruises has been hanging over the travel industry, after airlines cut back on flights to China. Transportation in major Chinese cities has been shut down, and Chinese flights have been grounded.Oil prices attempted to rally Monday on the reports OPEC might cut another 500,000 barrels on top of the current 1.8 million, but virus concerns reversed early gains.