SINGAPORE, SAUDI ARABIA : Oil traded near the highest level in almost 12 weeks after Saudi Arabia surprised the market Friday with a significant supply cut beyond what was agreed to with fellow OPEC+ members.
Futures in New York edged lower after climbing 1.3% Friday to cap a 7.3% weekly advance, the most since mid-June. The kingdom voluntarily pledged to pump 400,000 barrels a day less than mandated by OPEC+, translating to total overall curbs for the group of 2.1 million barrels a day.
Goldman Sachs Group Inc. raised its 2020 Brent forecast after the move, saying it was a shift to managing short-term physical imbalances rather than trying to correct long-term imbalances through open-ended commitments.
