Oil rose on Wednesday, paring earlier losses after Russia reiterated its openness to talking with OPEC about output cuts, which helped revive hope among investors that the world’s largest producers could act to boost prices.
Russian Foreign Minister Sergei Lavrov said if there is consensus among the Organization of the Petroleum Exporting Countries and non-OPEC members to meet, “then we will meet”.
This helped push the price of oil, which had been set for a third day of declines after data on Tuesday showed another big build in U.S. inventories, off the day’s lows.
Brent for April delivery LCOc1 was up 57 cents at $33.29 a barrel by 1141 GMT, pulling away from a session low of $32.30. U.S. crude futures rose 54 cents to $30.42, off a session low of $29.40.
“Is there going to be a meeting between Russia and OPEC? That is a supportive factor in this rally,” PVM Oil Associates analyst Tamas Varga said.
“(Oil-producing) countries are at the brink of default … so the situation is dire.”
Cash-strapped Nigeria and Angola are discussing potential financing from the World Bank, which, together with the International Monetary Fund, is in talks with Azerbaijan.