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Crude oil futures end higher on Monday

17 Nov 2020 Evaluate

Crude oil futures ended higher on Monday as strong economic data from China and Japan and hopes about Organization of Petroleum Exporting Countries (OPEC) and allies continuing to curb output helped ease concerns about energy demand outlook. The Organization of Petroleum Exporting Countries and their allies are due to meet on Tuesday and it is likely that the cartel will suggest changes to production quotas when all the ministers meet on November 30 and December 1. Further, encouraging reports on Covid-19 vaccine front contributed as well to oil’s uptick. Close on the heels of Pfizer's announcement last week about the phase 3 trial of its virus vaccine proving more than 90% effective, Moderna announced over the weekend that the late stage trial of its vaccine has proved 94.5% effective in preventing the disease.

Crude oil futures for December gained $1.21 or about 3 percent to settle at $41.34 a barrel on the New York Mercantile Exchange. However, January Brent crude rose $1.00 or 2.4 percent to settle at $43.80 a barrel on London's Intercontinental Exchange.

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