Oil prices rose on Monday in stagnant trade with holidays in the Islamic world, Singapore, London and New York.
Brent rose to $35.81 a barrel by 1659 GMT, while U.S. oil was flat at $33.74 a barrel. Both are down around 45% so far this year. There is no U.S. settlement because of the Memorial Day holiday.
The growing tensions between the world’s largest oil consumers, the United States and China, Beijing’s moves towards imposing security legislation in Hong Kong have raised concerns about the demand outlook.
Since the coronavirus broke out, bilateral relations, the two countries’ dispute on Hong Kong, human rights, trade and US’s support for Taiwan that China claims, are contradicted.
The prices are supported by the global supply cuts of the Organization of the Petroleum Exporting Countries and its allies, known as OPEC +, and the decision is voluntarily implemented as 9.7 million barrels per day.
The number of US crude oil installation, which is an early indicator of future production volume, dropped to 318 units by 22 May.
The major drop in global oil production was undoubtedly the key factor in the recent rise in oil prices.