Crude soars on sturdy short-term demand outlook

On Tuesday, crude prices inched up, underpinned in part by a sturdy demand outlook for the coming weeks, though overall market conditions remain poor on the back of rich supplies as well as a more subdued outlook for long-term demand.

Brent crude futures demonstrated $47.07 per barrel, adding 0.4% from their previous close.

American West Texas Intermediate crude futures reached $44.56 a barrel, soaring 0.4%.

Market participants told that the uptick in prices was partially because of healthy demand expected in the nearer weeks.

Crude prices have edged down 17% below their 2017 starting levels notwithstanding a deal led by the Organization of the Petroleum Exporting Countries to reduce output from January.

OPEC and also some other major exporters, including Russia agreed to hold back approximately 1.8 million barrels per day of output between January 2017 and March 2018.

In June, OPEC exported up to 25.92 million bpd, which is 450,000 bpd more than in May as well as 1.9 million bpd more than in 2016.