Oil optimism floods markets
THE new year has kicked off with an optimistic oil patch, with Brent oil peaking at of $58.37, up $1.55 a barrel and its highest since July 2015 before easing overnight, while West Texas Intermediate hit an 18 month high at $55.24.
January 1 marked not only the start of the new year, but the day a production agreement from the Organisation of the Petroleum Exporting Countries and its allies, including Russia, to cut output by almost 1.8 million barrels of oil per day kicked in.
Four days in and the deal is holding, supporting the oil price and raising hopes the global oil glut will begin to ease.
