Brent oil topped $55 a barrel for the first time since February, as gains in broader markets added to investor optimism already buoyed by Saudi Arabia’s unilateral plan to cut output.
The move caps a stellar few months for the oil market, with crude emerging as a favored play to bet on coronavirus vaccines and global reflation. Saudi Arabia’s pledge earlier in the week to cut production by 1 million barrels a day in February and March added vigour to the rally, while Democrat gains in the US have spurred broader markets higher in expectation of additional stimulus.
Covid remains a near-term concern, though. Accelerating cases across Europe prompted a call from the World Health Organization for stricter measures across the continent,
