Oil prices bounce back from three-week lows, but economic headwinds loom.

Oil prices rose on Friday, recovering further ground after touching three-week lows in the previous session, hit by a record decline in U.S. growth as the coronavirus ravaged the world's biggest economy and oil consumer. But as a second wave of infections rages around the world, the threat to oil demand is becoming apparent. "Despite the resilient and range-bound nature of oil pricing over recent weeks, plateauing global demand and increasing OPEC+ output raises the question of whether the market can absorb additional barrels," RBC Capital Markets said in a note. OPEC+, a grouping of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, collectively plan to increase production from Saturday, adding about 1.5 million barrels per day to global supply.