Oil continues to rise

Oil continues to rise as investors await OPEC+’s next steps on supply. Oil traded near its highest level this year after a rally led by OPEC+’s supply cuts that have tightened the market. Brent crude was little changed below $89 a barrel after five days of gains, up more than 5%. U.S. crude, meanwhile, remained above $85 a barrel. Crude has risen by about a quarter since late June, as supply cuts led by Saudi Arabia and Russia have weighed on the market. With the cuts extended, Riyadh and Moscow are expected to announce their next steps in the coming days. “The deficit has been a huge deficit since September 2022, with three rounds of production cuts by Saudi Arabia and its OPEC+ partners. The return of the deficit largely explains the timeframes and the summer spike in oil prices,” Goldman Sachs analysts, including Daan Struyven, said.