Oil Reaches 15-Month High on Supply Drop, OPEC Outlook
- Crude inventories fell to the lowest level since January
- Strong signals that non-OPEC nations will cooperate: Al-Falih
Oil Price, OPEC Production Climb Ahead of Agreement
Oil advanced to a 15-month high in New York after the government reported that U.S. crude inventories unexpectedly fell last week and Saudi Arabia’s energy minister said many nations are willing to join OPEC production cuts.
Futures jumped 2.6 percent to settle at the highest level since July 2015. The Energy Information Administration reported on Wednesday that nationwide crude supplies dropped by 5.25 million barrels to the lowest level since January in the week ended Oct. 14. Analysts surveyed by Bloomberg had forecast a 2.1 million-barrel increase. OPEC can continue to stabilize the market and other nations have given “strong signals” they will cooperate, Saudi Arabia’s Minister of Energy and Industry Khalid Al-Falih said in London.