Oil holds onto big gains, on hope that the market is becoming more balanced
Singapore — Oil markets were stable on Monday, largely retaining Friday’s big gains even though rising US output weighed on hope that the market would tighten after a 13% fall in US crude inventories since March. Brent crude futures, the international benchmark for oil prices, were at $52.70 a barrel at 3.02am GMT, down 1c from their last close. US West Texas Intermediate (WTI) crude futures were at $48.54 a barrel, up 3c from their last settlement. This came after a 3% jump in prices on Friday. Traders said the market was somewhat held back by rising US production, which has broken through 9.5-million barrels a day, its highest since July 2015. But the rise in US output may soon slow, as energy firms cut rigs drilling for new oil for a second week in three, the Baker Hughes energy services firm reported on Friday. Drillers cut five oil rigs in the week to August 18, bringing the total count down to 763, Baker Hughes said. "The rig count suffered its biggest fall since January, addi...
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