Oil rose for a sixth session, boosted by risk-on sentiment and news that Russia had agreed to further OPEC+ cuts.
While tight summer liquidity has kept the commodity tied to broader markets, tightening physical supplies are supporting prices, with West Texas Intermediate posting a third monthly gain.
Russia’s announcement that it would curb exports further comes as US crude stockpiles have fallen to their lowest level since December. WTI’s quick spread strengthened to 66 cents on the pullback, up sharply from 25 cents a week ago.
Crude is about 3% higher year-to-date as major OPEC+ producers cut supply and the cartel is expected to maintain those cuts in October. However, recent headwinds for crude oil include lingering expectations that the Fed is not done tightening interest rates and slowing economic growth in China.
Prices:
- WTI for October delivery rose $2 to settle at $83.63 a barrel in New York.
- Brent for October settlement, which expires on Thursday, settled at $86.86 a barrel.
- The most active November contract rose $1.59 to settle at $86.83 a barrel.
