Brent is still heading for a weekly gain of more than 5%. Signs of economic recovery, and a drop in supply after a record supply cut by the Organization of the Petroleum Exporting Countries and allies, known as OPEC , have helped Brent more than double from a 21-year low below $16 reached in April.
Boosting recovery hopes, a private survey showed on Friday that China’s services sector expanded at the fastest pace in over a decade in June. OPEC oil production fell to its lowest in decades in June and Russian production has dropped near its OPEC target. The bankruptcy filing of U.S. shale pioneer Chesapeake Energy also supported prices by raising expectations production will decline, JBC Energy said in a report.
Oil falls below $43 on virus fears, still heads for weekly gain, Reuters, Jul 3