12.06.202010:21:00UTC+00Oil Prices Rebound In Choppy Trade

Oil prices rose in choppy trade on Friday after steep losses in the previous session on concerns over rising coronavirus infections in some U.S. states.

Benchmark Brent crude rose 1.1 percent to $38.98 a barrel, after having fallen nearly 8 percent on Thursday.

West Texas Intermediate crude futures were up 1 percent at $36.70 a barrel, after tumbling over 8 percent in the previous session.

Both U.S. and global benchmark prices posted their biggest single-day loss in over six weeks on Thursday as reports showing a resurgence in coronavirus cases raised the possibility of another lockdown and a likely drop in energy demand in the world's biggest consumer of crude and fuel.

Cautious commentary from the U.S. Federal Reserve after the conclusion of its monetary policy meeting also added to concerns over economic growth.

The oil benchmarks are heading for weekly declines of more than 7 percent after six weeks of gains.

British Bank Barclays today raised its oil price forecasts for this year by $4 per barrel, but cautioned that incremental demand improvement will depend more on consumer behavior than the easing of enforced movement restrictions.