<p> Oil extended gains Thursday after a massive rebound overnight, but prices remain under pressure as the coronavirus strangles demand and storage facilities fill up.</p>.<p>US benchmark West Texas Intermediate was up 3.5 per cent at $14.27 a barrel while international benchmark Brent crude was up 2.60 per cent at $20.90 a barrel in early Asian trade.</p>.<p>Markets were relatively calm compared to the rollercoaster sessions earlier in the week, which saw US crude fall into negative territory for the first time.</p>.<p>Oil markets have plunged in recent weeks as lockdowns and travel restrictions to fight the coronavirus around the world batter demand, and storage facilities are overwhelmed by excess supply.</p>.<p>WTI for June delivery jumped 19 per cent Wednesday after US President Donald Trump threatened to shoot at Iranian boats in a key waterway for crude shipments after Washington accused its arch-foe of harassing its ships in the Gulf.</p>.<p><a href="https://www.deccanherald.com/national/coronavirus-live-updates-indias-tally-crosses-21000-toll-rises-to-678-surge-in-cases-from-up-delhi-maha-gujarat-827545.html"><strong>For latest updates on coronavirus outbreak, click here</strong></a></p>.<p>The Gulf is a major gateway for oil to reach international markets, and previous spikes in tensions between US and Iranian vessels have seen crude prices similarly surge higher.</p>.<p>Trump's threat overshadowed a weekly US inventory report that showed another big jump in crude stockpiles, including at the Cushing, Oklahoma hub where analysts say there is little remaining space.</p>.<p>And analysts warned that geopolitical tensions won't have a lasting impact if crude storage facilities are full.</p>.<p>"Any bottoming out in prices is solely dependant on either an immediate OPEC+++ coordinated action to limit the downside slide and or an unlikely swift demand recovery in May," said Stephen Innes, chief global market strategist at AxiCorp.</p>.<p>He was referring to exporting group OPEC and its allies, who struck a deal earlier this month to cut output by 10 million barrels a day in a bid to boost virus-hit markets.</p>.<p>But analysts say that will not be enough to make up for the loss in demand caused by the virus, and prices have continued to fall.</p>
<p> Oil extended gains Thursday after a massive rebound overnight, but prices remain under pressure as the coronavirus strangles demand and storage facilities fill up.</p>.<p>US benchmark West Texas Intermediate was up 3.5 per cent at $14.27 a barrel while international benchmark Brent crude was up 2.60 per cent at $20.90 a barrel in early Asian trade.</p>.<p>Markets were relatively calm compared to the rollercoaster sessions earlier in the week, which saw US crude fall into negative territory for the first time.</p>.<p>Oil markets have plunged in recent weeks as lockdowns and travel restrictions to fight the coronavirus around the world batter demand, and storage facilities are overwhelmed by excess supply.</p>.<p>WTI for June delivery jumped 19 per cent Wednesday after US President Donald Trump threatened to shoot at Iranian boats in a key waterway for crude shipments after Washington accused its arch-foe of harassing its ships in the Gulf.</p>.<p><a href="https://www.deccanherald.com/national/coronavirus-live-updates-indias-tally-crosses-21000-toll-rises-to-678-surge-in-cases-from-up-delhi-maha-gujarat-827545.html"><strong>For latest updates on coronavirus outbreak, click here</strong></a></p>.<p>The Gulf is a major gateway for oil to reach international markets, and previous spikes in tensions between US and Iranian vessels have seen crude prices similarly surge higher.</p>.<p>Trump's threat overshadowed a weekly US inventory report that showed another big jump in crude stockpiles, including at the Cushing, Oklahoma hub where analysts say there is little remaining space.</p>.<p>And analysts warned that geopolitical tensions won't have a lasting impact if crude storage facilities are full.</p>.<p>"Any bottoming out in prices is solely dependant on either an immediate OPEC+++ coordinated action to limit the downside slide and or an unlikely swift demand recovery in May," said Stephen Innes, chief global market strategist at AxiCorp.</p>.<p>He was referring to exporting group OPEC and its allies, who struck a deal earlier this month to cut output by 10 million barrels a day in a bid to boost virus-hit markets.</p>.<p>But analysts say that will not be enough to make up for the loss in demand caused by the virus, and prices have continued to fall.</p>