Thursday, 26 August 2021

Oil rally ends amid COVID-19 concerns, returning supply | Reuters

Oil rally ends amid COVID-19 concerns, returning supply | Reuters

Oil fell on Thursday for the first session this week as renewed concerns about demand amid rising COVID-19 infections cut short a three-day rally, and as Mexico restored some oil production.

Brent crude was down 71 cents, or 1%, at $71.54 a barrel by 0939 GMT, having risen 1.7% on Wednesday.

U.S. West Texas Intermediate oil was down 78 cents, or 1.15%, at $67.58 a barrel, after gaining 1.2% in the previous session.

The U.S. Energy Information Administration (EIA) reported that American crude inventories fell last week for a third consecutive week and overall fuel demand increased to the most since March 2020.

But the demand picture is not entirely bullish.

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