Oil Prices Climb As Saudi Rules Out Opec Supply Cuts

Oil prices rose notably on Monday after Saudi oil minister Khalid al-Falih said it would be too early to change OPEC+ output policy at the group’s meeting in April.

Sentiment was also bolstered after Baker Hughes’ latest weekly report showed that U.S. energy firms cut the number of oil rigs operating for a third week in a row to the lowest level in 10 months.

Drillers cut nine oil rigs in the week to March 8, bringing the total count down to 834.

Global benchmark Brent crude climbed 0.9 percent to $66.34 per barrel, while U.S. West Texas Intermediate (WTI) crude oil futures were up nearly 1 percent at $56.62 per barrel.

The Bloomberg reported, citing a Saudi official as saying that the country will supply its clients with significantly less oil than they requested in April, extending deeper-than-agreed production cuts into a second month.

Earlier, media reports quoted Saudi oil minister Khalid al-Falih as saying on Sunday that the group was unlikely to change its output policy in April and if required would make adjustments in June, in case there is any unforeseen disruption somewhere else.

The OPEC+ alliance will meet in Vienna on April 17-18, with another gathering scheduled for June 25-26.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Oil Prices Climb As Saudi Rules Out Opec Supply Cuts