Oil extended a gain as Saudi Arabia pledged to deepen production cuts and U.S. President Donald Trump said he could extend a deadline for new tariffs on China.
Futures in New York added as much as 0.9 percent after a 1.3 percent increase Tuesday. Saudi Arabia will continue to curb output more than required by a December deal among top producers, Energy Minister Khalid Al-Falih told the Financial Times. Trump signaled he may extend a March 1 deadline if the two sides are near an agreement, sending a conciliatory signal amid talks to resolve the trade war between the world’s two biggest economies.
WTI for March delivery gains as much as 50 cents to $53.60/bbl on Nymex, trades at $53.51/bbl at 9:21am in Tokyo. Contract rose 69 cents to $53.10 on Tuesday.
April Brent added 91 cents to $62.42/bbl on ICE Futures Europe exchange on Tuesday. Brent ended session at $8.95 premium to WTI for the same month.