Crude oil futures ended higher on Tuesday lifted by an announcement from Saudi Arabia that it will cut crude production by 1 million barrel per day from February through March. The decision of the Organization of the Petroleum Exporting Countries (OPEC) and its allies to hold output steady in February further helped push up oil prices. Tensions in the Middle East after Iran detained a South Korean vessel carrying ethanol in the Straits of Hormuz also contributed to the jump in oil prices.
Crude oil futures for February rose $2.31 or 4.9 percent to settle at $49.93 a barrel on the New York Mercantile Exchange. March Brent crude gained $2.51 or 5 percent to settle at $53.60 a barrel on London's Intercontinental Exchange.