WASHINGTON (dpa-AFX) - Oil prices rebounded on Tuesday after OPEC Secretary General Mohammad Barkindo said that the cartel doesn't see another plunge in demand like in the second quarter.
Benchmark Brent crude edged up 34 cents, or 0.8 percent, to $41.15 a barrel, while U.S. crude futures were up 39 cents, or 1 percent, at $38.95. Both contracts fell more than 3 per cent on Monday amid worries about energy demand.
'We remain cautiously optimistic that the recovery will continue. It may take longer, maybe at lower levels, but we are determined to stay the course,' OPEC's chief said on Monday as the second coronavirus wave sweeps through the U.S. and Europe.
Speculation is rife that the group would delay the easing of the cuts by several months until global oil demand shows positive trends.
Separately, Saudi Arabia's Energy Minister Prince Abdulaziz bin Salman said on Monday the worst is over for the oil market.
'We are still vigilant. I think there is a big shift all together in terms of where we are today and where we were in April and May,' he said.
Investors await inventory data from the American Petroleum Institute later today and the U.S. Energy Information Administration on Wednesday for further direction.
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