Crude oil futures end higher as Saudis plan to cut crude exports to US refiners

Crude oil futures settled higher with gains of over two and half percent on Thursday after a report said that Saudi Arabia plans to cut shipments to US refiners to avoid an expansion of US stockpiles. Saudi Aramco warned US refiners to brace for a steep drop in cargoes next month. 

 

Oil prices had already been moving up as traders pored over data showing a rise in monthly Organisation of the Petroleum Exporting Countries (OPEC) output, as well as a recent report of a weekly decline in US crude supplies and production.

Meanwhile, Iran’s oil minister Bijan Zanganeh has reported serious political disagreements within OPEC, even as group last week reached the deal to cut production. The report raised market doubts about the ability of members to adhere to the deal and curb global oversupply.

Benchmark crude oil futures for January rose $1.43 or 2.8 percent to settle $52.58 a barrel on the New York Mercantile Exchange. February Brent crude surged $1.30 or 2.2 percent to settle at $61.45 a barrel on London's Intercontinental Exchange.

Commodity Mcx Live Price