Oil prices rally on output-cut expectation

New York: Oil prices ended higher on Monday after Russia said it was ready to curb crude output.

“Russia is ready to join in joint measures to limit output and calls on other oil exporters to do the same,” said Russian President Vladimir Putin on Monday at the World Energy Congress in Istanbul, Xinhua news agency reported.

The West Texas Intermediate for November delivery added $1.54 to settle at $51.35 a barrel on the New York Mercantile Exchange, while Brent crude for December delivery increased $1.21 to close at $53.14 a barrel on the London ICE Futures Exchange.

“In the current situation, we think that a freeze or even a cut in oil production is probably the only proper decision to preserve stability in the global energy market,” he said.

Oil prices had advanced over 11 per cent since the Organization of the Petroleum Exporting Countries reached a deal last Wednesday to cut crude output for the first time in eight years.

The group’s oil ministers are expected to hammer out the final details of an agreement at their next official meeting on November 30 in Vienna.