West Texas Intermediate futures for March delivery rebounded to $28.40 (+1.65%), while Brent crude climbed to $30.83 (+1.68%) after posting steep losses in the previous session amid concerns over demand. Comments by Iran's oil minister supported oil prices later. He said Tehran was ready to discuss the current situation in oil markets with Saudi Arabia. However analysts say that Saudi Arabia is unlikely to negotiate.

The International Energy Agency cut oil consumption growth forecast to 1.17 million barrels per day for this year compared to growth of 1.6 million bpd in 2015. The agency estimated that global oil stocks will grow by 2 million bpd in the first quarter of the current year and by 1.5 million in the second quarter.