Oil at 3-month high

Oil held on to gains near the highest in more than three months after another Houthi assault on the Red Sea, as tensions continued to rise in the key region for crude production and trade. Brent traded above $83 a barrel after a three-day rally, while U.S. crude traded above $79. The Rubymar crew abandoned the ship after the attack on Sunday evening, the first such evacuation since the Yemen-based group began targeting ships late last year. Crude has been stuck in a narrow range around $10 a barrel since the start of the year as bullish and bearish factors have led to lower volatility. Signs of weak demand, particularly from major importer China, have been countered by geopolitical tensions and efforts by OPEC+ to curb production. “The market is in a bit of a wait-and-see mode for now. The next thing investors are looking at is what OPEC+ decides to do at its next production policy meeting,” said Rob Thummel, senior portfolio manager at Kansas-based Tortoise Capital Advisors LLC. The group and its allies are due to meet in early March to decide whether to extend the output cuts into the second quarter. Iraq, OPEC’s second-largest producer, has vowed to step up compliance with the restrictions after the country completes a review of external forecasts for its output, according to its oil minister.