Oil Prices Settle Lower by 1%

Oil prices declined on Thursday due to negative economic data, which also pushed stock markets down.

The OPEC+ move to raise output, by limiting the production cuts to 7.7 million barrels per day (bpd) from August 1, which was announced yesterday, is not expected to disrupt the market, as demand is showing signs of recovery.

However, concerns regarding the rising cases of COVID-19, especially in the US, are still affecting markets.

The US benchmark crude oil, West Texas Intermediate (WTI), futures for August delivery lost 45 cents or 1.1% and settled at $40.75 per barrel.

Meanwhile, the global benchmark Brent crude oil futures decreased by 1% or 42 cents to close at $43.37 per barrel.