SINGAPORE- Oil prices soared more than 1% on Thursday after its underperformance the previous day on a lower-than-expected increase monitored in the United States. However, earnings were restricted by ambiguity whether major oil manufacturers will implement deeper output reduction.
Brent crude LCOc1 advanced 78 cents, equivalent to 1.5%, and was last quoted at $51.91 per barrel at exactly 0202 GMT. The U.S. West Texas Intermediate (WTI) CLc1 added 69 cents, equivalent to 1.5%, and last stood at $47.47 a barrel.
Saudi Arabia demands a cut of 1 million up to 1.5 million barrels per day and to hold 2.1 million bpd until the last quarter of the year. However, Russia remained hesitant in supporting Saudi Arabia and other associates of the Organization of the Petroleum Exporting Countries (OPEC) in implementing deeper output reduction. The said scheme is aimed at equalizing the effects of novel coronavirus on oil demand.