Oil Poised for Third Monthly Gain Before OPEC+ Opens the Taps
By Ann Koh
and James Thornhill
July 31, 2020, 1:18 AM GMT+3 Updated on July 31, 2020, 7:22 AM GMT+3
OPEC+ plans to return about 1.5m b/d to market next month
WTI crude futures climb 0.4% after declining 3.3% on Thursday
Oil is set for a third monthly advance in New York before OPEC+ starts returning supply to the market after historic cuts, with the pandemic still raging unabated across many major economies.
Deep production curbs by OPEC and its allies have helped oil rebound from its plunge below zero in April, but it’s a precarious time to be adding more supply to the market with the coronavirus spreading rapidly through some American states, while staging a comeback in Asia. Futures slid 3.3% on Thursday after data showed the U.S. economy suffered its sharpest downturn since at least the 1940s in the second quarter, highlighting the impact of the outbreak.