Oil gains, with Brent above $40, as hopes rise for output cuts, recovery

TOKYO (Reuters) - Oil rose on Wednesday, with Brent above $40 for the first time since March, as optimism mounted that major producers will extend output cuts and a recovery from the coronavirus pandemic will spur fuel demand. Brent crude futures for August were up 78 cents, or 2%, at $40.35 a barrel, by 0636 GMT. The contract climbed to as high as $40.53, the highest since March 6, after gaining 3.3% on Tuesday. U.S. West Texas Intermediate (WTI) crude futures gained $1.06, or 2.9%, at $37.87..