Oil: output restraint to support prices - BBH
Aided by the OPEC and non-OPEC agreement to extend the output restraint through the end of next year helps support oil prices, according to analysts at BBH.
“Nervousness ahead of the agreement saw prices ease during the first three sessions last week before moving higher. Although the WTI for Jan delivery slipped 0.6% on the week, it closed above $58 for only the second time in two years. The other time was Nov 24, and the intra-session high on that day, a little above $59, is the next immediate target. The $60 level may be psychologically important, and marks congestion for a few weeks in May and June 2015, the high from then is found in the $61.80-$62.50 range.”