U.S. crude hits $85 per bbl as OPEC production cuts tighten crude market
(Bloomberg) – U.S. oil futures climbed above $85 a bbl for the first time since November as supply cuts from OPEC and its allies tighten the crude market.
Crude prices have surged over the summer as production curbs, primarily from Saudi Arabia and Russia, boosted the market a time when demand usually rises. China’s efforts to ramp up economic stimulus and robust economic data from the U.S. have also supported the rally.
West Texas Intermediate rose as much as 1.9%. Brent also climbed. Prices also gained as U.S. jobs data indicated wages were rising slower than forecast, taking the pressure off the Federal Reserve to hike interest rates.
