Oil settles back after gains made on OPEC+ abiding by output cuts - Reuters

Oil settles back after gains made on OPEC+ abiding by output cuts - Reuters:

Oil prices held onto most of their overnight gains on Tuesday after the OPEC+ producer grouping said members were almost fully complying with agreed output cuts to support prices amid a drop in demand for fuels due to the coronavirus pandemic.

Brent crude LCOc1 was down 18 cents, or 0.4%, at $45.19 a barrel by 0702 GMT, after gaining 1.3% on Monday.

U.S. crude was down 26 cents, or 0.6%, at $42.63 a barrel, having risen 2.1% in the previous session.

Compliance with OPEC+ oil output cuts was seen at around 97% in July, two OPEC+ sources told Reuters. The oil producers curbed output by record amounts to reduce worldwide inventories, as demand collapsed due to the pandemic.