Oil stands firm amid supply cuts and sanctions
Brent is slightly stronger, but concern that an economic slowdown will soon start denting growth in demand keeps a cap on prices
Singapore — Oil prices were firm on Friday amid production cuts led by Opec and as US sanctions against Venezuela and Iran likely created a slight deficit in global supply in the first quarter of 2019. But oil prices have been capped by concerns that an economic slowdown will soon start denting growth in fuel demand. Brent crude oil futures were at $67.27 per barrel at 0425 GMT, 4c above their last close, and within a dollar of the $68.14 2019-high reached the previous day. US West Texas Intermediate (WTI) crude oil futures were at $58.63 per barrel, 2c above their last settlement, and not far off their 2019-high of $58.74 from the previous day. Despite Friday’s dips, oil has rallied around a quarter since the start of the year. “Crude oil continues to grind higher ... in response to ongoing production cuts from the Opec+ group of producers as well as another [output] slump from a blacked-out Venezuela,” said Ole Hansen, head of commodity strategy at Denmark’s Saxo Bank. The Organiz...
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