Oil prices gain as Saudi Arabia cuts ties with Qatar, saying it aids extremism
London — Oil rose on Monday after top crude exporter Saudi Arabia and other Arab states cut ties with Qatar, driving up prices on concerns over increased tension in the Middle East. Saudi Arabia, the United Arab Emirates, Egypt and Bahrain closed transport links with top liquefied natural gas (LNG) and condensate shipper Qatar, accusing it of supporting extremism and undermining regional stability. The move pushed Brent crude prices up 35 US cents, or 0.7%, to $50.30 a barrel by 8.36am GMT, having risen as much as 1% earlier in the session. US West Texas Intermediate futures were at $48.03 a barrel, up 37c. With a production capacity of about 600,000 barrels per day, Qatar’s crude oil output is one of oil cartel Opec’s smallest. But tension within Opec could potentially affect an agreement to cut production in order to support global prices. "I think it’s still going to be a bit of a debate on the true impact it can have on the oil market," said Olivier Jakob, strategist at Petromat...
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