2020.04.2210:48:00UTC+00Oil Prices Slide Again On Demand Worries

Oil prices fell again on Wednesday to trade near a 21-year low on worries about excess supply and collapsing demand as the coronavirus pandemic disproportionately impacts different sectors of the global economy.

Benchmark Brent crude was trading down half a percent at $19.24 a barrel, after having fallen to as low as $15.98 a barrel, its lowest since June 1999 earlier in the session. U.S. West Texas Intermediate futures were down 0.7 percent at $11.49.

As lockdowns bite, the head of the United Nations food agency warned on Tuesday that a looming "hunger pandemic" will bring "the worst humanitarian crisis since World War II."

As businesses of all sizes face an extended period of economic uncertainty, global business leaders are preparing for a drawn-out U-shaped recession, a survey conducted last week by global CEO network YPO showed.

The most fearful leaders are in the hospitality and restaurant sectors, followed by aviation, and wholesale and retail sales.

Meanwhile, in the latest sign of excess supply, the American Petroleum Institute on Tuesday reported another large crude oil inventory build of 13.226 million barrels for the week ending April 17.

The U.S. government's official supply report is due later in the session.

Producers are considering further steps to reduce output, with Saudi Arabia saying it was ready to take extra measures with other producers, though the next formal OPEC+ meeting is not until June.