Second wave of COVID-19 cases could dampen oil price recovery
Brent prices gained 6% MoM this month
Brent prices rose higher in July as global oil demand picks up. OPEC+ achieved 107% compliance with their committed cuts last month and countries that exceeded their quotas in May and June have agreed to make extra compensation cuts in the third quarter (Platts). However, fears over a second virus wave could cap the recovery of prices. Market analysts expect Brent prices to remain near USD43/bbl in Q4 (Bloomberg).