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Oil prices rise on possible extension of output cuts deal

Source: Xinhua| 2018-01-23 05:39:46|Editor: Mu Xuequan
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NEW YORK, Jan. 22 (Xinhua) -- Oil prices settled higher on Monday as investors digested the news that major oil exporters might extend an output cut deal.

Saudi Arabia said that the Organization of the Petroleum Exporting Countries (OPEC) and other major oil producers would continue to cooperate after an output cuts deal expires at the end of 2018, in order to facilitate market rebalance, according to media reports on Monday.

In the meantime, a drop in U.S. oil rig count supported the oil price.

The number of rigs operating in U.S. oil fields was down by five at 747 last week, according to oilfield service firm Baker Hughes' weekly report released Friday.

The West Texas Intermediate for February delivery increased 25 U.S. cents to settle at 63.62 dollars a barrel on the New York Mercantile Exchange, while Brent crude for March delivery gained 42 cents to close at 69.03 dollars a barrel on the London ICE Futures Exchange.

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