Crude oil prices bounce back as rising stockpiles seen pointing to lower output amid coronavirus

TOKYO: Oil rose on Thursday, with US crude rebounding from near-20-year lows in the previous session on hopes that a big build-up in US inventories may mean producers have little option but to deepen output cuts as the coronavirus pandemic ravages demand.

Brent crude was up 69 cents, or 2.5 per cent, at $28.38 a barrel by 0102 GMT. US West Texas Intermediate (WTI) was up 56 cents, or 2.8 per cent, at $20.43.

With official data showing US inventories surging the most on record, WTI fell on Wednesday to its lowest since February 2002, with Brent slumping more than 6 per cent.