Oil falls as virus infections rise, eyes on EU recovery plan

LONDON : Oil prices fell on Monday as coronavirus cases increased in many countries across the globe, but investors remained cautiously optimistic about ongoing talks over a European Union-wide recovery fund to revive economies affected by the pandemic.

Brent crude was down 24 cents, or 0.6%, at $42.90 per barrel by 0943 GMT while U.S. West Texas Intermediate (WTI) slipped 23 cents, or 0.6%, to $40.36.

“As things stand, prices are not likely to produce any sizeable gains very soon, until a signal that the pandemic slows down. And even though in Europe the virus has been cornered, the Americas and some Asian states have still a long way to go,” said Rystad Energy’s head of oil markets Bjornar Tonhaugen.