Chaos and Scrambling in the US Oil Patch as Prices Plummet
NEW YORK (AP) — The global economic crisis caused by coronavirus has devastated the oil industry in the U.S., which pumps more crude than any other country.
In the first quarter, the price of U.S. crude fell harder than at any point in history, plunging 66% to around $20 a barrel.
A generation ago, a drop in oil prices would have largely been celebrated in the U.S., translating into cheaper gas for consumers.
But today, those depressed prices carry negative economic consequences, particularly in states that have become dependent on oil to keep their budgets balanced and residents employed.