Schroders

What does the oil price drop mean for dividends?

Oil prices have had a volatile few weeks and some companies will be better placed than others to weather a period of lower prices. A focus on balance sheets will be crucial.

The spread of COVID-19 has caused volatility across financial markets in recent months, but the energy sector has a second crisis to deal with, with crude oil prices tumbling to the point of even turning negative for a brief period.

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