First time in history Oil goes below $0

Markets have witnesses yet another historic event over the last trading day. The price of a barrel of US oil plunged below $0 for the first time in history. The reason ? Oil producing nations around the world have continued to pump oil at a time when almost all cars, planes and oil consuming industries have ground to a halt. This means oil coming out of the ground today has run out of places to be stored which in effect means producers are paying buyers to take the oil off their hands, hence the negative price