WTI oil recovery stalls below $38 with all eyes on the OPEC+

• WTI crude oil consolidates around $37 after peaking at $38.15.
• Uncertainty about an OPEC+ agreement to extend output cuts are weighing on prices.

The recent rally on oil prices seems to have stalled this week, with WTI front-month crude oil futures trading sideways around $37 on Thursday after peaking at $38.15 on Wednesday.

OPEC+ uncertainty hurts the oil rally

Oil prices’ positive trend has lost steam with the market wary about the uncertainty surrounding the OPEC+ meeting to review the production cuts. The meeting, originally scheduled for Thursday has been postponed for June 9-10 amid signs of disagreement between producer countries.

Furthermore, the increase in the gasoline and distillate stockpiles reported by the US Energy Information Administration on Wednesday has increased negative pressure on oil prices.

Likewise, the European benchmark, Brent oil, has remained practically flat at $40 after having doubled its price over the last six weeks.

WTI oil key levels to watch