Oil Prices Rebound On Investor Optimism Over Oil Producers Deal
Crude oil futures rebounded on Wednesday on investor hopes that a deal between Saudi Arabia and Russia to freeze oil output at January levels would lead to a wider pact among producers that could eventually see production cuts to support prices. Brent crude LCOc1 climbed 47 cents to $32.65 a barrel as of 0135 GMT after settling down $1.21 in the previous session after surging to $35.55 a barrel in early trade on Tuesday. Top oil producers Russia and Saudi Arabia on Tuesday agreed to limit oil production at January levels, provided other oil exporters joined in, but stopped short of agreeing cuts in oil output. Also, the fate of the first global oil deal in 15 years could be decided on Wednesday when OPEC members travel to Iran to persuade the country to participate in a deal to freeze output levels, possibly by offering Tehran special terms.