Brent crude oil was last up 2.1% at $43.82 a barrel, above where it was before talks about a production freeze collapsed over the weekend. Analysts said oil prices drew support on Tuesday from a strike by oil workers in Kuwait, reducing concerns about a global glut of supply.

The Russian camp was locked in negotiations with the Saudis, Qataris and Venezuelans — a core group that had first backed the freeze in February.

Thousands of workers in six oil and petrochemical companies went on strike Sunday to protest proposed government cutbacks.

“The one hope is that earnings bounce back and company cash flows [improve],” Mr Caprio added. “If that doesn’t happen, [companies] will have debt to pay off and it is unclear how they’ll pay it.”

Industrial production—a broad gauge of output across U.S. factories, mines and power plants—decreased a seasonally adjusted 0.6% in March from the prior month, the Federal Reserve said Friday. Output has fallen for six of the past seven months. From a year earlier, industrial production decreased 2% in March. Manufacturing output, the largest component of the index, fell 0.3% in March.

Some 18 OPEC and non-OPEC countries, including Russia, had been meant to meet on Sunday morning in the Qatari capital of Doha and rubber-stamp a deal - in the making since February - to freeze output at January levels until October 2016.

U.S. Rig Count is down 3 rigs from last week to 440, with oil rigs down 3 to 351, and gas rigs remain unchanged at 89. Canadian Rig Count is down 1 rig from last week to 40, with oil rigs up 2 to 10, and gas rigs down 3 to 30.

“A flat output profile for OPEC (excluding Iran) and Russia would tighten global balances by almost 0.5 million barrels a day in the second half relative to our expectations and push the oil market into a deficit in the third quarter,” the U.S. bank wrote in a note on Wednesday. That would “push prices above $50 near term,” it said.

The contango between futures prices in the fourth quarter of 2016 and the average of 2017 has shrunk from $3.75 per barrel in December to $2.50 at the end of February and just $1.65 in recent days.

North Sea Brent crude oil prices averaged $38/barrel (b) in March, a $6/b increase from February. Both Brent and West Texas Intermediate (WTI) crude oil prices are forecast to average $35/b in 2016 and $41/b in 2017. However, the current values of futures and options contracts suggest high uncertainty in the price outlook.