2020.07.2010:08:00UTC+00Oil Prices Retreat On Worries Over Fuel Demand

Oil prices fell on Monday amid worries that surging coronavirus cases will stall a recovery in fuel demand.

Investors also kept a keen eye on development in Brussels, where EU leaders are into their fourth day of talks about how much money Member States will get to help them over the economic crisis caused by the pandemic.

Benchmark Brent crude fell 30 cents, or 0.7 percent, to $42.84 a barrel, while U.S. crude futures were down 28 cents, or 0.7 percent, at $40.45 a barrel.

Coronavirus cases continue to rise in the U.S. as debate begins this week on a new relief bill.

Sunday marked the 41st straight day that the seven-day average for new daily coronavirus infections in the United States trended upward. Kentucky, Louisiana, Oregon and South Carolina all set new single-day records on Sunday.

The novel coronavirus pandemic has now killed more than 600,000 people worldwide.

The euro hit a four-month high on hopes that EU leaders would move toward agreement on a proposed 750 billion euro recovery fund to revive economies.

Latest reports suggest that EU leaders were making progress on a coronavirus rescue plan after three days of haggling.

The main division is between countries hit hardest by the virus and some EU members seeking to limit the size of the fund and stricter controls on its use.

Dutch Prime Minister Mark Rutte has admitted leaders were "close to failure" and talks could still "fall apart".