Despite significant pressure, oil prices on Thursday rebounded and manages to stay above the psychological $40 benchmark.

According to the details, Brent Crude rebounded slightly after suffering significant losses in the previous session.

Brent crude is trading $1.19 (2.99%) higher at $40.97 at the time of publication, while the US West Texas Intermediate (WTI) is up $1.45 (3.94%) to $38.21 a barrel.

It is pertinent to mention here that last week, the US Energy Information Administration (EIA) reported positive oil data, which showed a decline in US oil supplies, with inventories falling by 9.4 million barrels to a total of 498.4 million barrels.

Market analysts had predicted Brent crude to stay average $45 a barrel throughout 2020, with that figure rising to an average of $50 in 2021.

But with global economies struggling to reopen amid the Covid-19 pandemic and markets taking longer to recover than expected, oil prices have begun to fall, applying additional pressure on companies operating in the sector.