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Oil up over 1% as output cuts hold sway

Published 22/02/2017, 12:27 am
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Investing.com - Oil was higher Tuesday as investors opted to focus on agreed output cuts by major producers.
Brent crude was up 85 cents, or 1.51%, at $57.03 at 08:00 ET. U.S. crude added 92 cents, or 1.71%, to $54.70.
OPEC and non-OPEC have agreed to cut output by 1.8 million barrels a day in the first half.
OPEC Secretary General Mohammed Barkindo was upbeat about high compliance levels with the cuts.
Observers noted record net long position-taking in oil futures and options.
However, the market is also looking to developments in North American shale activity which could cancel out the agreed cuts.
American Petroleum Institute stockpile data are due out Wednesday.
These will be followed Thursday by official Energy Information Administration inventories.
U.S. crude stocks jumped in the past two reporting weeks.

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