OPEC's Azevedo: Ongoing pandemic, virus variants could pressure oil production downward

OPEC president Diamantino Azevedo told Reuters on Tuesday that oil prices are relatively stable as they see is a certain balance between demand and supply.

"Vaccines are certainly set to increase oil demand but new waves could lead to lockdowns, hurt demand," Azevedo further noted. "The ongoing pandemic, virus variants could pressure oil production downward."

Market reaction

Oil prices edged slightly higher after these remarks. As of writing, the barrel of West Texas Intermediate (WTI) was trading at $61.03, rising 1.4% on a daily basis.