Investing.com — Crude prices rose Monday, steadying after three straight weeks of losses ahead of monthly reports from OPEC and the IEA, as well as the latest meeting of the Federal Reserve.
By 08:03 ET (12:03 GMT), futures (WTI) traded 1.1% higher at $76.33 per barrel, while the contract climbed 1.0% to $80.45 a barrel.
The crude market posted its third straight weekly loss last week on concerns that a plan to unwind production cuts by the Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, from October will add to rising global supply.
In a note to clients on Sunday, analysts at Goldman Sachs said the recent declines in Brent were linked to a drop in the “geopolitical risk premium and in speculative positioning.” Renewed worries over broader oil demand and upside surprises in global inventories also contributed to the dip, they argued.
The analysts predicted that Brent prices could recover to $86 per barrel in the third quarter thanks to “healthy consumers” during the all-important summer travel season. However, they added that Brent will likely stay rangebound between $75 and $90 a barrel.
This week traders will be keeping an eye on a monthly report from OPEC on Tuesday, which is set to include the group’s outlook on annual oil demand. A similar report from the International Energy Agency is also due later this week.