Oil Extends Surge as OPEC Signals Deal, Supply Threats Mount - Bloomberg

Oil Extends Surge as OPEC Signals Deal, Supply Threats Mount - Bloomberg:

"Oil closed at its highest in more than two years for a second day as support grew for OPEC to prolong output cuts, while supply threats abounded.

Futures jumped 2 percent in New York, closing above $55 a barrel for the first time since July 2015. While Nigerian militants and Venezuela’s debt woes imperil crude output from two of the world’s chief suppliers, the overarching bullish factor remained the increasing prospects for an extension of the OPEC-led curbs to be decided as early as this month. In the U.S., oil rigs declined by the most in more than a year, and WTI surpassing Thursday’s intraday high also provided upward momentum later in the session.

OPEC has indicated “they are looking to extend the agreement through the end of 2018,” Andrew Lebow, senior partner at Commodity Research Group, said by telephone. “We’ve made a new high and the fundamentals have finally improved.”"



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