Oil prices rebound as traders await OPEC+ meeting

Xinhua News Agency | Apr 8, 2020 at 7:56 PM

NEW YORK, April 8 (Xinhua) -- Oil prices gained on Wednesday as market participants eagerly awaited a key meeting by the world's major oil producers on output cuts.

The West Texas Intermediate for May delivery rose 1.46 U.S. dollars to settle at 25.09 dollars a barrel on the New York Mercantile Exchange, while Brent crude for June delivery was up 0.97 dollar to close at 32.84 dollars a barrel on the London ICE Futures Exchange.

The Organization of the Petroleum Exporting Countries (OPEC) and its allies led by Russia, a group known as OPEC+, are expected to hold a video conference on Thursday to discuss oil production cuts.

The group's failure to strike a deal on output cuts in Vienna last month had sent oil prices to a nosedive and sparked fears of a possible price war.

Wednesday's rally came after a noticeable dip in the previous session as investors grew concerned over global supply glut.

The U.S. Energy Information Administration on Tuesday forecast that the worldwide COVID-19 pandemic and increase of oil supply will keep global crude oil prices at multi-year low averages through the first half of 2020.