Economics
Oil Seen Headed to $60 as Saudis Signal Deeper Output Cuts
- OPEC, non-OPEC nations cuts reach 1.8 million barrels a day
- Saudi oil minister says kingdom will reduce supply further
Will the OPEC Deal Bring the Market Back Into Balance?
This article is for subscribers only.
Oil may climb to $60 a barrel for the first time in almost a year and a half after Russia and other unaffiliated nations joined an OPEC pledge to reduce production and Saudi Arabia surprised the market by saying it will cut more than previously agreed.
Non-OPEC nations said Saturday they will reduce output by 558,000 barrels a day, adding to a Nov. 30 OPEC commitment to cut 1.2 million starting in January. Brent crude has surged more than 20 percent since OPEC announced its first cut in eight years. Prices jumped as much as 6.6 percent to $57.89 a barrel in early Monday trading.