Oil remained higher after major OPEC+ producers Saudia Arabia and Russia announced output cuts to stem a slide in prices.
West Texas Intermediate rose toward $71 a barrel and was 1.7% higher compared with Monday’s close, the day Riyadh and Moscow announced their latest curbs. Futures didn’t settle on Tuesday due to a US holiday.
The moves — a supply-cut extension by Riyadh and fresh reduction by Moscow — are spurring importers to look elsewhere for their needs. Traders in Asia said there’s a plentiful supply of barrels from shippers outside the cartel.
Oil has slumped this year as China’s recovery lost momentum and central banks in the US and Europe raised rates to quell inflation, jeopardizing energy demand. The drop in prices prompted a series of interventions by the Organization of Petroleum Exporting Countries and its allies to restrict flows.
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