- Oil prices continue to be weighed down by COVID fears.
- This issue has been further compounded by the lack of buying from Chinese refineries.
- The absence of a catalyst is also prompting some price weakness here. So either COVID cases have to peak or Chinese buying return.
- The US asked OPEC+ to increase production and sources are quoted as saying that won't happen.
- Meanwhile, if oil prices hold even at today's level, energy companies should announce more shareholder-friendly capital allocation policies by Q3 announcement.
For further details see:
Oil Prices Weighed Down By COVID Fears, Still