Oil prices flattened on Thursday after a two-day slump that reflected the world’s mixed economic recovery from the U.S. epidemic. Demand is expected to continue to rise, while the second coronavirus outbreak in India has further hampered the movement.
Brent crude was up 11 cents, or 0.2%, at $ 66.77 a barrel at 0657 GMT, down 3% on Wednesday. After falling 3.3% in the previous session, the U.S. Oil was up 25 cents, or 0.%, at $ 63.61 a barrel.
“U.S. petrol demand is ahead of the driving season,” ANZ Research said in a statement. Also, “U.S. airport footballers increased to 1.85 million, which is in line with jet fuel demand.”
Raw cargo in the United States rose 1.3 million barrels last week, contrary to analysts’ expectations of a 1.6 million barrel rise in a Reuters poll.
Petrol stocks fell 2 million barrels compared to the fall of 886,000 barrels. The supply of petrol, a quantity demanded, increased by 5% per day to 9.2 million barrels, although this required a partial follow-up to the colonial pipeline.
Yet “India’s declining fuel demand is likely to worsen in May due to operating restrictions”.
Nearly two-thirds of people tested in India show exposure to the coronavirus, which spreads the virus as the daily death toll rises to 4,529.
The fall in oil prices on Wednesday was further boosted by media reports that the United States and Iran had made progress in talks on Tehran’s nuclear program.
Subsequent reports indicated that more time was needed to reach an agreement.
“We find the market reaction to be exaggerated and recommend buying before a strong summer,” Citi Research said in a weekly oil note.
Speculation that the Federal Reserve may raise weight rates given economic growth and has prompted some investors to cut exposure to oil and other commodities.
