Oil Prices for June 2, 2020: Brent Crude, WTI - Bloomberg

Oil Prices for June 2, 2020: Brent Crude, WTI - Bloomberg:

PRICES:
West Texas Intermediate for July delivery rose 2.7% to $36.40 a barrel as of 11:47 a.m. in London. Brent for August delivery climbed 2.9% to $39.43 a barrel.

Oil rose past $36 a barrel as investors eyed a potential extension of record production curbs by OPEC+ while physical markets showed renewed signs of tightness.

Futures in New York rose around 2.7%. Russia and several producers in the Organization of Petroleum Exporting Countries and its allies are said to favor an extension of one month to existing cuts, with consensus building toward that length within the group, according to three delegates. It was unclear whether OPEC’s key power, Saudi Arabia, had agreed to the suggestion, with the kingdom supporting an additional one to three months of curbs.

Crude is rallying as the market for real barrels of crude is showing renewed signs of strength too. The bearish structure in the nearest futures contracts has disappeared, signaling tighter supplies. Russian Urals crude was bid last week at the highest level since Bloomberg began compiling data, as the nation accelerates record output cuts.