Oil prices rose to a six-week high amid bullish oil demand and a positive outlook for the US economy, despite fears the recovery demand will be impacted by the resurgence of coronavirus infections in India. A weak dollar, which was pinned near nine-week lows, also lent some support to oil prices.
On the week closing, Brent crude price rose to $67.25 per barrel and West Texas Intermediate (WTI) rose to $63.58 per barrel.
At their latest monthly meeting, OPEC+ producers decided to maintain their existing plans to boost oil output gradually by easing production output cuts but this did not impact oil prices, signaling the group’s confidence in the demand outlook and that they do not see any lasting impact from India’s coronavirus crisis.
This is because market sentiment remains supportive and the cautious approach in the second quarter seems to be fading away. This is mainly supported by the continued drawing of the global oil inventories, and the market...read more...