Oil rises more than 1% on smaller-than-expected rise in crude stocks

* OPEC struggles to win Russian backing for big oil cut
* IMF says coronavirus erases hopes for stronger growth in
2020
* U.S. crude stocks rise modestly; exports crack 4 mln bpd

By Jessica Jaganathan
SINGAPORE, March 5 (Reuters) - Oil prices rose more than 1%
on Thursday, recouping losses from the previous day on a
smaller-than-expected rise in crude oil inventories in the
United States, although the gains were capped by uncertainties
over cuts by major oil producers.
Brent crude LCOc1 rose by 78 cents, or 1.5%, to $51.91 per
barrel by 0202 GMT, while U.S. West Texas Intermediate (WTI)
CLc1 was up by 69 cents, or 1.5%, at $47.47 per barrel.
Volumes were low, however, reflecting that "there is not a
lot of confidence in the moves," said Michael McCarthy, chief
market strategist at brokerage CMC Markets in Sydney.
Saudi Arabia and other members of the Organization of the
Petroleum Exporting Countries (OPEC), meanwhile, struggled on
Wednesday to win support from Russia to join them in additional
oil output cuts to prop up prices that have tumbled by a fifth
this year because of the coronavirus outbreak.
Saudi Arabia wants extra cuts of 1 million to 1.5 million
barrels per day (bpd) for the second quarter, and to keep
existing cuts of 2.1 million bpd in place until the end of 2020.
"If OPEC+ settles with something in the middle of the
Russian request of no change in cuts and the 1.5 million Saudi
goal, that might not be enough to keep prices supported here,"
said Edward Moya, senior market analyst at broker OANDA.
"OPEC+ needs to send a strong message and anything below 1
million barrels in deeper production cuts will send oil prices
sharply lower."
Supporting oil prices, U.S. crude stocks rose modestly in
the latest week, while U.S. oil exports surged to more than 4
million barrels a day for the first time since December,
suggesting a rise in overseas demand. EIA/S
Geopolitical tensions in the Middle East also boosted
prices. The Saudi-led coalition fighting in Yemen said it had
foiled an attack on an oil tanker off Yemen's coast on the
Arabian Sea, the Saudi state news agency SPA reported on
Wednesday.
Still, the global spread of the coronavirus has crushed
hopes for stronger growth this year and will hold 2020 global
output gains to their slowest pace since the 2008-2009 financial
crisis, International Monetary Fund Managing Director Kristalina
Georgieva said on Wednesday.