Oil Has Best Week in Four Months With Saudi Cut Buoying Prices

  • Physical crude getting snapped up after Saudi announcement
  • Brent tops $55 a barrel for the first time since February
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Oil posted the biggest weekly gain since late September as Saudi Arabia’s plan to slice output spurred a surge in physical crude buying.

Futures in New York advanced $3.72 this week and Brent oil topped $55 a barrel for the first time since February. Saudi Arabia’s pledge earlier this week to cut production by 1 million barrels a day in February and March has made for a tighter supply outlook sooner than anticipated. Meanwhile, prospects for additional stimulus under a Biden administration spurred broader market gains.