Oil holds gains near $62 with investors assessing demand outlook

Oil was steady at the open of trading in Asia as investors assessed the outlook for demand ahead of a key OPEC+ meeting later this week.

Futures in New York traded near $62 a barrel after rising 1.2% on Friday, the most in more than a week. While the US and China are recovering strongly from the pandemic, the market is facing near-term headwinds from a virus flare-up in India. That could pose a problem for the OPEC+ alliance, which have agreed to start adding more supply from May.

Oil’s robust start to the year faltered in mid-March as some regions started to see a virus resurgence, although prices are still up almost 30% in 2021.