Oil Rises as Saudis, Venezuela Seen Carving Deeper Into Supplies - Bloomberg

Oil Rises as Saudis, Venezuela Seen Carving Deeper Into Supplies - Bloomberg:

Oil began the week on the rebound, as Saudi Arabia moved to extend supply curbs and a nationwide blackout threatened deep production cuts in Venezuela.

Futures in New York climbed 1.3 percent after dropping on Friday amid weak U.S. employment figures. Saudi Arabia plans to produce well below 10 million barrels a day in April, a Saudi official said over the weekend. Meanwhile, crude output from fellow OPEC member Venezuela has collapsed in recent days after a four-day power outage, according to a senior oil ministry official there.

In terms of production, “there’s nothing really bearish about the markets," said Brynne Kelly, an energy trader and analyst who runs The Fundamental Angle, an energy consultancy in New Jersey. “We still have Canada holding back; we still have OPEC cuts. At the moment, inventories aren’t out of line."