Oil futures remained in rebound mode Thursday, taking back ground lost in a Monday rout, as traders shake off concerns about the impact on demand of the spread of the delta variant of the coronavirus and a rise in U.S. crude inventories in the latest week.
West Texas Intermediate crude for September delivery
the global benchmark, was up 40 cents, or 0.6%, at $72.63 a barrel on ICE Futures Europe.
WTI plunged more than 7% on Monday, while Brent plunged more than 6%.
“Oil is enjoying another day in the green, with WTI firmly back above $70 and the mid-July malaise seemingly behind us,” said Craig Erlam, senior market analyst at Oanda, in a note. “To climb back above $70 so rapidly after Monday’s selloff was impressive and says a lot about how traders view the dips, something that can be applied more broadly to risk assets.”
Oil rose Wednesday, with an unexpected rise in U.S. crude inventories offset by a fall in supplies at Cushing, Oklahoma, the delivery hub for Nymex oil futures.