Investors Assess Tighter Supply Against Growth Outlook, Keeping Oil Prices Steady
Oil prices remained relatively stable on Monday as investors weighed the potential impact of tighter supplies from OPEC+ producers against concerns over weakening global growth and its impact on fuel demand.
Brent crude futures slipped by 5 cents to reach $85.07 per barrel by 0237 GMT, while US West Texas Intermediate crude was up by 2 cents at $80.72 a barrel.
Both contracts saw their third consecutive week of gains last week, returning to levels last seen in November after OPEC+ announced more production cuts that are set to start in May, cutting mostly sour crude supplies from Middle East producers led by Saudi Arabia.
The market will also watch for progress between Iraq and Kurdistan to restart northern oil exports which could bring more sour crude to the global market.
Meanwhile, a decline in US oil rigs last week suggests that US production may not be rising in the near term.