Oil rises to $61 on Libyan supply cut and drop in US stock
Oil has been supported by the supply loss in Libya, which declared force majeure on exports from the country's largest oilfield on Sunday
London — Oil rose to about $61 a barrel on Wednesday, supported by an industry report showing a drop in US crude inventories, a cut in Libyan exports and an Opec-led deal to trim output. The American Petroleum Institute (API) said on Tuesday that US crude inventories dropped by 10.2-million barrels last week, more than analysts had forecast. Official inventory figures are due later on Wednesday. Brent crude, the global benchmark, rose $1.07 to $61.27 by 9.47am GMT. It has still fallen by almost a third since early October. US crude gained 99c to $52.64. "The oil market is regaining further ground this morning in the wake of a bullish API report," Stephen Brennock of oil broker PVM said, although he sounded a note of caution. "After all, the fundamental outlook in early 2019 is still plagued by a supply surplus and is therefore not conducive for a sustained price rally." Oil has been supported this week by the supply loss in Libya, which declared force majeure on exports from the cou...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.