On Monday major oil producers led by Saudi Arabia agreed to keep working together to prop up crude prices, but said they would decide only in June on whether to extend production cuts. Meeting in Azerbaijan’s capital Baku, members of the OPEC+ alliance said they would continue coordinating efforts to “stabilise” the oil market through production cutbacks.
On Wednesday oil prices rose, pushed up by ongoing supply cuts from producer group OPEC and by US sanctions against Iran and Venezuela. International Brent crude oil futures were at $66.95 a barrel at 0751 GMT, up 28 cents, or 0.4 percent, from their last close.
On Tuesday US oil prices inched, buoyed by expectations of tightening global supply amid U.S. sanctions on Venezuela and production cuts led by OPEC. U.S. West Texas Intermediate (WTI) crude futures were at $54.73 per barrel at 0020 GMT, up 16 cents from their last settlement. They closed down 1.3% on Monday, after earlier touching their highest since Nov. 21 at $55.75 a barrel.
On Tuesday the oil prices rose by around 1% amid supply cuts led by producer club Russia and OPEC, although a darkening economic outlook may soon weigh on growth in fuel demand. International Brent crude oil futures were at $59.62 per barrel at 0740 GMT, up 63 cents, or 1.1%, from their last close. US West Texas Intermediate (WTI) crude futures were at $51.14 per barrel, up 63 cents, or 1.3%.
S&P Global Platts proposes to reflect competitive offers of North Sea crude grades on a freight-adjusted cost, insurance and freight (CIF) Rotterdam basis in its free on board (FOB) Dated Brent crude oil benchmark for cargoes loading in November 2019 onwards.
The prices of oil rose on Tuesday, extending strong gains from the previous day amid expected OPEC-led supply cuts and a mandated reduction in Canadian output. The 90-day truce in the trade dispute between China and the United States was also still supporting markets, traders said.