Oil prices edged higher on Thursday, taking the week’s gains so far to more than 10% on growing hopes that the world’s major producers will hold off on a planned supply increase as soaring cases of COVID-19 dent fuel demand.
U.S. West Texas Intermediate (WTI) crude CLc1 futures climbed 17 cents, or 0.4%, to $41.62 a barrel at 0732 GMT, while Brent crude LCOc1 futures rose 7 cents, or almost 0.2%, to $43.87 a barrel.
Algeria’s energy minister said on Wednesday that OPEC+ - grouping the Organization of the Petroleum Exporting Countries (OPEC) and other suppliers including Russia - could extend current production cuts of 7.7 million barrels per day (bpd) into 2021, or deepen them further if needed.
The weakening outlook has piled pressure on OPEC+ to hold back a supply increase of 2 million bpd scheduled for January, with the market now pricing in a delay, analysts said.
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