Media ININ Economy We Trust
Media In \ Agencies 3-12-2018
Oil prices rose nearly 5 percent today, after the United States and China agreed not to impose new tariffs for 90 days and ahead of OPEC’s meeting this week, which is expected to result in a cut in supplies.
US WTI rose to $ 53.41 a barrel, up $ 2.48 a barrel, or 4.9 percent from the last closing price.
US crude also strengthened Canada’s announcement that the Alberta region would force evacuees to cut production by 8.7 percent or 325,000 bpd to counter bottlenecks that could lead to an increase in inventories. Most of Alberta’s oil is exported to the United States.
Brent crude was up $ 2.89, or 4.9 percent, at $ 62.35 a barrel.
China and the United States agreed at the G20 meeting in Argentina not to impose additional customs duties for at least 90 days while the two sides were in talks.
Traders are waiting for an OPEC meeting on Dec. 6, with the Organization and Russia slated to cut supplies to curb production surpluses that have pushed oil prices down by a third since October.
Analysts expect production to be cut from 1.4 million barrels per day (bpd) to October 2007, the highest for OPEC since December 2016.
