Oil gains ground as OPEC report highlights steady demand
In the aftermath of the Organization of the Petroleum Exporting Countries (OPEC) issuing a report indicating robust demand, oil prices experienced a slight uptick on Tuesday. This development comes as a reassurance to the market, which has witnessed a considerable sell-off over the past three weeks.
As of 0722 GMT, Brent crude futures witnessed a rise of 23 cents, or 0.28%, reaching $82.75 per barrel. Concurrently, U.S. West Texas Intermediate (WTI) crude futures also saw an increase of 21 cents, or 0.27%, settling at $78.47 per barrel, as per the latest reports from Reuters.
Analysts at ING offered insights into the market dynamics, noting, “Following the heavy sell-off in the market over the last three weeks, oil has managed to find some support. While fundamentals may not be as bullish as initially thought, they are still supportive, with the market likely to be in deficit for the remainder of this year.”