Oil falls as wary traders eye OPEC+ meeting

Oil prices fell on Monday as OPEC and its allies proposed a meeting to assess the need for additional record output cuts beyond June.

Brent crude dropped 0.4%, or 15 cents, at $37.69 per barrel. West Texas Intermediate crude futures for the July contract lost 0.4%, or 13 cents, at $35.36 per barrel.

The price declines came after both benchmarks posted their highest monthly gains in years. The price increase was lifted by OPEC production cuts and demand recovery as countries ease lockdowns.

However, the U.S.-China tensions still weighed on the market, as well as the riots happening in major U.S. cities.

Saudi Arabia is planning to extend production cuts until the end of 2020. However, this proposition is yet to be supported by Russia.

Current OPEC president Algeria proposed that the organization move the June 9-10 to June 4 to facilitate oil sales for several countries at a quicker time.

Elsewhere, North American oil supply also dropped as data showed that the U.S. and Canada oil and gas rigs fell to a record low in the week ended May 29.