Oil consumption has risen faster than OPEC expected, despite the influence of the Omicron Covid-19 variant. Credit: Schmucki.

Oil prices have inched lower due to faded optimism on fuel demand recovery and the prospect of Libyan supply return.

Brent crude fell by $0.17 or 0.2% at $41.68 a barrel, while US West Texas Intermediate (WTI) crude futures were down by $0.26 or 0.7% to $39.44 a barrel.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

A looming rise in supply weighed on the oil market as Libya’s National Oil Corporation (NOC) confirmed international talks to restart exports.

The resumption of oil output by Libya is set to end a blockade, which was put in place since January by eastern-based forces in the civil war that has stopped most of the energy exports for six months.

Optimism on 29 June was based on easing the coronavirus-related lockdowns by major economies, increasing hopes that fuel demand is steadily rising.

Simultaneously, Covid-19 cases continue to surge in the southern and southwestern states in the US.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Commonwealth Bank of Australia mining and energy commodities analyst Vivek Dhar said: “It is really difficult to say that demand is a one-way street. There are still plenty of risks going both ways.”

Meanwhile, market investors are awaiting demand recovery data from the industry group American Petroleum Institute (API) due to be released on 30 June and data from the US government on 1 July.

The Organization of the Petroleum Exporting Countries (OPEC), including Russia and other producers, together known as OPEC+, have been reducing supply by approximately 9.7 million barrels per day (mbps) since 1 May.

Earlier this month, the group also agreed to extend output cuts until the end of next month.