According to yesterday’s news OPEC is considering further production cuts. The next meeting of oil-producing countries is scheduled for December 5-6. The announcement pushed the oil prices up yesterday.
Crude rallies towards $64 on British pipeline outage
On Tuesday, crude tacked on towards $64 a barrel, underpinned by the Forties pipeline outage in the North Sea, not to mention OPEC-led supply cuts as well as hopes that American crude inventories headed south for a fifth week.
Soaring output in America put a lid on revenues. However, shale output will soar to a record high in January, as a government estimate published on Monday states because higher prices encourage crude producers to pump more.
Brent crude futures gained 34 cents being worth $63.75 a barrel, while American crude futures also acquired 34 cents hitting $57.50.
The unexpected shutdown of Forties since the previous week has underpinned Brent as Forties appears to be the largest of the North Sea crude grades backing the benchmark. On December 2 Brent hit $65.83, which is its highest value since mid-2015.
A deal by OPEC along with non-member producers, such as Russia to reduce to tame a supply glut has also underpinned oil prices.
The remarks by Nigel Farage during the Brexit party's election event have sent the British pound higher…
The Reserve bank of New Zealand will release the monetary policy statement and its interest rate at 3:00 MT on November 13.
A calm trading session with the US-China trade updates in focus