Oil near 2-month high as supply glut concerns ease

Bloomberg

Oil held gains near a two-month high after data showed US production growth slowing at a time when Opec cuts and American sanctions on Venezuela have already eased concerns over a supply glut.
Futures in New York rose as much 0.9 percent to reach the highest intraday level since November 21, after adding 2.7 percent. Opec’s crude output fell the most in two years in January, according to a Bloomberg survey of officials, analysts and ship-tracking data. The number of active oil rigs in the US dropped to the lowest level in almost nine months, data by oilfield-services provider Baker Hughes show.
Oil has rebounded this year as Opec’s production cuts have taken effect, clawing back more than half of its 40 percent slump last quarter. The rally has seen hedge funds slash bearish bets on crude,
although gains are being capped by slowing global growth and uncertainty over US-China trade war. Venezuela has become the wildcard in the supply-demand equation as its deepening political crisis threatens to weigh further on production.