The oil price collapse means that a barrel of crude is now cheaper than a Netflix subscription, a bottle of coke, water, and toilet roll.

The internet is awash with memes celebrating just how bizarre negative oil prices are.

But negative prices are a stark indication of just how unprepared the global economy is for an external shock.

Oil prices have collapsed. On Monday, the price of West Texas Intermediate crude oil plunged as low as -$40.32. Producers began paying traders $40 to take oil off their hands. Or to put it another way, a full barrel of oil became cheaper than an empty one.

Fortunately, the WTI price rebounded early Tuesday, hitting a very modest $1.10. But it continued to fluctuate into negative territory, harassed by concerns that oversupply will persist for as long as the coronavirus pandemic continues.

It's possible that oil will fight with negative pricing for the foreseeable future. But at least this has given the internet plenty of excuses to come up with memes celebrating just how bizarre the situation is.

Negative Oil Prices

No one is buying oil. Most of us are under lockdown. Millions of businesses have ceased operations.