COMMODITY
Crude oil futures end higher as OPEC decides to cut production
Dec-08-2018

Crude oil futures ended sharply higher on Friday after OPEC and non-OPEC members reached an agreement to cut crude production next year. Oil prices had stayed weak early on in the session amid doubts over whether the OPEC will decide on a reduction in crude oil production. On the third day of their meeting in Vienna, OPEC members decided to reduce oil production by a total of 800,000 barrels per day, from October levels. Non-OPEC nations, led by Russia, agreed to reduce output by 400,000 barrels per day. The proposed reduction of 1.2 million barrels per day, is much more than the anticipated cut of about 1 million barrels per day. Earlier, there was talk of a 1.4 million barrel cut, but media reports suggested that Saudi Arabia was keen for a cut of only 1 million barrels.

Benchmark crude oil futures for January surged $1.12 or 2.2 percent to settle $52.61 a barrel on the New York Mercantile Exchange. February Brent crude gained $1.61 or 2.7 percent to settle at $61.67 a barrel on London's Intercontinental Exchange.


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