Oil prices rise on expectations of extended production cut

 24 May 2017 - 11:23

Oil prices rise on expectations of extended production cut
File Photo: Reuters.

QNA

Singapore: Oil prices rose on Wednesday, supported by confidence that an OPEC-led output cut aimed at tightening supply would be extended to all of 2017 and the first quarter of next year.

Brent futures rose to US$54.34 per barrel, up 19 cents, or 0.35%, from their last close.

US West Texas Intermediate (WTI) futures were at US$51.64 a barrel, up 17 cents, or 0.33%.

Both benchmarks have gained more than 10% from their May lows below US$50 a barrel, rebounding on a consensus that the Organization of the Petroleum Exporting Countries (OPEC) and other producers, including Russia, would extend their pledge to cut supplies by 1.8 million barrels per day (bpd) to March 2018.