Crude holds above $40 in Asia ahead of producers’ summit

Singapore—Crude prices dipped in Asia Tuesday but held above $40 as traders awaited a summit of key oil producers next week to discuss freezing output and easing the supply glut. Analysts said prices were expected to see-saw before Sunday’s meeting in the Qatari capital Doha that will bring together both OPEC producers led by Saudi Arabia and non-OPEC members such as Russia. A major topic is a proposal to freeze output at January levels to try to ease oversupply after prices plunged by three-quarters to near 13-year lows between August 2014 and February this year.
At around 0700 GMT US benchmark West Texas Intermediate for delivery in May was down seven cents, or 0.17 percent, at $40.29. Brent crude for June was trading five cents, or 0.12 percent, lower at $42.78. Both contracts closed higher on Monday after soaring eight percent or more last week. Barclays Research said the market was expected to remain “neutral” until after the April 17 summit.—AFP

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