Brent and West Texas Intermediate crude rose for the second time in three days amid speculation that losses stemming from OPEC’s decision not to cut production have been excessive.
Futures rebounded as much as 1.3 percent in London and 1.6 percent in New York. The global benchmarks fell 18 percent last month after the Organization of Petroleum Exporting Countries maintained its output target at 30 million barrels a day, opting to let low oil prices force U.S. shale producers to cut supply. Saudi Arabia won’t give up market share “at this time for anybody,” Prince Turki Al-Faisal, the kingdom’s former intelligence chief, said yesterday.
Crude has collapsed into a bear market as the U.S. pumps oil at the fastest rate in more than three decades while global demand slows. OPEC, responsible for about 40 percent of the world’s supply, resisted calls from members including Venezuela to reduce its quota at a Nov. 27 meeting in Vienna.