Oil rises towards $65 as supply concerns outweigh trade disputes

LONDON: Oil rose towards $65 a barrel on Tuesday as Opec supply cuts and Middle East tensions outweighed the US-China trade dispute that has been dragging down the global economy and oil demand.

Opec and its allies agreed last week to extend their supply-cutting deal until March 2020. Brent has risen almost 20 per cent in 2019 supported by the pact and also tensions in the Middle East, especially concerns about the row over Iran’s nuclear programme.

Benchmark Brent crude rose 59 cents to $64.70 a barrel by 1033 GMT. US West Texas Intermediate crude was up 46 cents to $58.12.

“Opec and its allies are doing their best to support the market,” said Tamas Varga, an analyst with PVM.