Oil Surges to One-Year High Fueled By OPEC+ Commitment on Supply
- Inventories decline with OPEC+ pledging to clear oil surplus
- Key technical indicators show crude in overbought territory
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Oil jumped to the highest in more than a year, extending this week’s rally to above $56 a barrel, with investors confident that OPEC+ producers are committed to restraining global supplies.
Futures in New York climbed nearly 1% on Thursday, also buoyed by stronger U.S. equities. OPEC+ producers have pledged to keep draining a pandemic-driven oil surplus, while global inventories from China to the U.S. continue to decline. Saudi Arabia is keeping oil pricing unchanged for Asia, while raising prices for all grades for buyers in the U.S. and Europe.