The DOW plunged more than seven percent on Monday. This is the single largest one-day point-loss in U.S. History.

 

Growing concerns over the coronavirus and a battle over prices caused a slow down in demand for crude oil. Retired economics professor Richard Crowe explained what he thinks is going on.

“I think what’s happening is people are afraid. Afraid of what this virus might do in terms of closing down jobs,” said Crowe.

Crowe also explained what this means for gas prices in our area.

“Saudi Arabia flooded the market with cheap gas so the supply increased into a bad market and prices are going to fall even further,” said Crowe.

Gas prices will continue to drop. “Our prices are gonna drop in the same percentage that other places drop,” said Crowe.

Crowe said the market will climb back up but it is only a matter of time.