Singapore — Oil prices rose by more than 1% on Monday after top exporter Saudi Arabia announced a December supply cut, a measure probably aimed at halting a market slump that has seen crude decline by 20% since early October. Front-month Brent crude futures, a benchmark for global oil prices, were at $71.37 a barrel at 5.31am GMT, up $1.19, or 1.7%, from their last close. US West Texas Intermediate (WTI) crude futures were at $60.87 a barrel, up 68c, or 1.1%. Saudi Arabia plans to reduce oil supply to world markets by 0.5-million barrels a day in December, its energy minister said on Sunday, as the Opec power faces uncertain prospects in getting other producers to agree to a co-ordinated output cut. Khalid al-Falih told reporters that Saudi Aramco’s customer nominations would fall by 500,000 barrels a day in December versus November due to seasonal lower demand. The cut represents a reduction in global oil supply of about 0.5%. Saudi Arabia is the de facto leader of oil cartel Opec....
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