Oil Advances as Funds Wager on Rally
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Oil rose for a second day as hedge funds increased bets on rising prices to the highest in four months. Saudi Arabia said it was confident that crude would rebound as world economic growth boosts demand.
West Texas Intermediate futures climbed as much as 2.5 percent in New York. Money managers expanded their net-long position in WTI by 14 percent in the week ended Dec. 16, U.S. Commodity Futures Trading Commission data show. A global glut that has driven prices lower was created by a lack of cooperation from producers outside the Organization of Petroleum Exporting Countries, according to Saudi Arabia Oil Minister Ali Al-Naimi. Libyan output fell to less than than the nation’s own consumption level, National Oil Corp. said.