Oil prices drifted lower on Thursday as concerns about renewed COVID-19 lockdowns in the United States outweighed signs of a recovery in U.S. gasoline demand, Reuters reports.

U.S. West Texas Intermediate (WTI) crude CLc1 futures fell 14 cents, or 0.3%, to $40.76 a barrel by 0229 GMT, after rising 0.7% on Wednesday.

Brent crude LCOc1 futures slipped 7 cents, or 0.2%, to $43.22, after gaining 0.5% on Wednesday.

A spike in COVID-19 cases across several U.S. states, however, raised the prospect of renewed lockdowns that would likely hold back any sustained recovery in fuel demand.

That has kept the benchmark crude contracts in tight ranges this week, although holding above $40 a barrel.

Together called OPEC+, the producers could decide to pare or extend their record 9.7 million bpd supply cut from August.

The panel has been pressing OPEC+ over-producers, such as Iraq and Nigeria, to improve their compliance with the curbs.

News.Az