Oil up as OPEC+ assess coronavirus impact on oil demand

LONDON, February 4, 2020 – Oil prices rose on Tuesday in Asia as OPEC and its allies meet to assess Asia’s coronavirus’ impact on oil demand.

US Crude Oil WTI Futures gained 0.9% to $50.55 by 12:20 AM ET (04:20 GMT), while international Brent Oil Futures rose 0.5% to $54.75.

Technical experts from OPEC+ will meet at the cartel’s Vienna headquarters later in the day to study the disease’s impact, Bloomberg reported, which noted that fuel consumption in China, the world’s biggest oil importer, has slumped by about 3 million barrels a day, or 20% of total consumption.

The officials from OPEC+ are considering to convene an emergency ministerial meeting later this month to consider new production cuts, according to the report.

Oil prices fell to their lowest level in the previous session as China’s coronavirus crisis entered its second month, threatening to further drain demand for China.

In the latest tally, China said its total death toll from the virus stood at 425 and cases rose to more than 20,000.

Asian equities and other risky assets recovered today, with Chinese stocks gaining more than 1% after closing down 8.7% on Monday.

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