Oil climbed near $56 a barrel on signs of slowing U.S. production growth and as OPEC and its allies deepened cutbacks.
Futures in New York rose as much as 0.9 percent after dropping 2.5 percent Friday. Working oil rigs in the U.S. fell to the least since May, according to data released Friday by Baker Hughes. OPEC’s output dropped last month as Saudi Arabia, Kuwait and the United Arab Emirates delivered all of their pledged cuts amid unplanned supply losses in the cartel’s members Venezuela and Iran. OPEC’s key ally Russia also curbed output deeper last month.
WTI for April delivery rises as much as 50c to $56.30/bbl on Nymex, trades at $56/bbl at 9:06am in Tokyo. Contract -$1.42 to $55.80 on Friday.
May Brent +11c to $65.18/bbl on ICE Futures Europe exchange. Contract -$1.24 to $65.07 on Friday. Brent trades at $8.72 premium to WTI for the same month.
Source : Bloomberg