Crude climbed above $62 a barrel for the first time in more than a week as an alliance of some of the world's largest oil producers signaled further cooperation to tighten supplies through the end of the year.
Futures added as much as 1.4 percent in New York after advancing 4.2 percent last week. The “market rebalancing has gained massive momentum” as the Organization of Petroleum Exporting Countries and its partners work to trim output, OPEC Secretary-General Mohammad Barkindo said Monday in Nigeria. Meanwhile, United Arab Emirates Energy Minister Suhail Al Mazrouei said OPEC, Russia and other producers are looking at ways to “institutionalize” their cooperation beyond the end of this year.
West Texas Intermediate for March delivery advanced 82 cents to $62.50 a barrel on the New York Mercantile Exchange. Transactions on Monday will be booked Tuesday for settlement because of the U.S. Presidents’ Day holiday. Total volume traded was about 65 percent below the 100-day average.
Brent for April settlement added 89 cents to $65.73 on the London-based ICE Futures Europe exchange. The global benchmark traded at a $3.31 premium to April WTI.