Oil near 10-month high after Saudi Arabia's unilateral supply cut

Oil held near a 10-month high after Saudi Arabia’s surprise pledge to cut an extra 1 million barrels a day of crude output in February and March.

Futures in New York rose 0.2 per cent, but gave up some earlier gains after failing to rise above the lows set in June 2019, a level seen as providing technical resistance. Saudi Arabia’s pledge to cut output prompted a sharp rally on Tuesday in the structure of the futures curve and headline prices.

The kingdom’s decision, which Russian Deputy Prime Minister Alexander Novak called a “new year gift” to the market, comes as governments