Oil Extending Rally as Brent Crude Nears $80

Oil prices are extending a rally to fresh 10-week-highs, with WTI crude up 0.4% at $75.14 a barrel while the global benchmark Brent climbs 0.3% to $79.66. Peter Cardillo at Spartan Capital says the key driver to oil’s gains has been decisions by the Saudis and the Russians, two of the world’s top oil producers, to cut production levels further. But, he adds, the gains have left prices “nearing levels that would likely require some extraordinary geopolitical or global economic news to send prices much higher.” Oil markets will now watch for US consumer inflation data at 8:30am ET, followed by a weekly EIA oil inventory report at 10:30am ET.