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CORRECTED-Oil falls as growing coronavirus cases stoke fuel demand worries

Published 03/07/2020, 01:49
Updated 03/07/2020, 04:42
CORRECTED-Oil falls as growing coronavirus cases stoke fuel demand worries
LCO
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CL
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(Corrects WTI's weekly percentage gain to 4.7%, not 5.6%, in
3rd paragraph)
SEOUL, July 3 (Reuters) - Crude prices fell on Friday as the
resurgence of the coronavirus globally and in the United States,
the world's largest oil consumer, dimmed the prospects of fuel
demand recovery.
Brent crude LCOc1 futures were down 37 cents, or 0.9%, at
$42.77 a barrel as of 0042 GMT, and U.S. West Texas Intermediate
(WTI) crude CLc1 futures fell 34 cents, or 0.8%, to $40.31 a
barrel.
Both benchmarks rose more than 2% on Thursday, buoyed by
stronger-than-expected U.S. jobs data and a fall in U.S. crude
inventories. For the week, Brent is up 4.3% and WTI is up 4.7%.
Increases in the daily cases of the coronavirus, however,
globally and in the United States pressured prices. New U.S.
COVID-19 cases rose by more than 50,000 on Thursday, setting a
record for a third consecutive day, according to a Reuters
tally.
"The market has become increasingly confident that easing
restrictions on travel and business would boost demand for crude
oil, but the pandemic's progress threatens to derail this
recovery," ANZ Research said in a note.
"The recovery in gasoline demand will plateau until the U.S.
economy improves," it said.
Gasoline demand will be closely watched as the United States
heads into its July 4 holiday weekend as many Americans are
expected to hit the road.
U.S. gasoline stocks USOILG=ECK rose by 1.2 million
barrels in the week to June 26, according to data from the
Energy Information Administration released on Wednesday. EIA/S

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