Oil prices bounced back from a more than 4-year low on Tuesday, as hopes for a raft of new economic stimulus to soften the economic blow from the coronavirus outbreak steadied nerves. US President Trump said he would press lawmakers to enact a payroll tax cut in response to the virus.
Also, investors became more optimistic after Chinese President Xi visited Wuhan for the first time since the epidemic began, while the spread of the disease continued to slow in China. Both oil benchmarks plunged more than 25% on Monday, suffering their biggest one-day drop since the 1991 Gulf War after Saudi Arabia started a price war. WTI crude rose as much as 6.8% to $32.25 a barrel while Brent added nearly 5.7% to $35.28 a barrel around 09:00 AM London time.