Oil: Meteoric rise in prices continues - BBH

Oil prices continued their meteoric rise as Brent is up nearly 45% since late June, and WTI for January 2018 delivery is up 37%, including last week's 3.5% increase, notes the research team at BBH. 

Key Quotes

“Reports that Saudi Arabia and Russia seem to agree on extending the output cuts another nine months through the end of next year was seen as supportive, though many seemed to have expected it.  The shutdown of the Keystone pipelines and additional declines in US oil stocks may have been among the factors that drove the bulls in recent days.  The continuation futures contract finished at its best level in nearly two and a half years.  While some technical readings are stretched, there seems to be potential to test the $60 a barrel level.”