Oil prices rose on Thursday, extending recent market gains amid signs of a slowdown in supplies and hopes for a pickup in crude demand.
The West Texas Intermediate for July delivery increased 0.43 U.S. dollar to settle at 33.92 dollars a barrel on the New York Mercantile Exchange. The settlement was the highest since March 10, based on the front-month contracts, according to Dow Jones Market Data.
Global benchmark Brent crude for July delivery was up 0.31 dollar to close at 36.06 dollars a barrel on the London ICE Futures Exchange.
Concerns over a supply glut eased after OPEC-led production cuts and lower U.S. crude inventories.
The Organization of the Petroleum Exporting Countries and its allies, a group known as OPEC+, agreed to cut output by 9.7 million barrels per day for May and June.
U.S. crude oil inventories decreased by 5 million barrels during the week ending May 15, the U.S. Energy Information Administration reported on Wednesday. Analysts polled by S&P Global Platts had been expecting an increase of 2.4 million barrels.
Investors also become hopeful of a demand recovery as more economies began to relax coronavirus-tied lockdown restrictions.
Editor:Cherie
