SINGAPORE — Oil prices rose above US$61 a barrel in Asian trading Wednesday as the market considered forecasts for colder weather in the United States and next month's OPEC meeting.
In less than two weeks, the front-month crude-oil futures contract has climbed by more than US$5 a barrel, but prices are still trading within a range that has been roughly in place since the start of October.
Light sweet crude for January delivery was up 14 cents to US$61.13 a barrel in midmorning Asian electronic trading on the New York Mercantile Exchange.
Barely two weeks ago, on Nov. 17, the December contract settled and expired at US$55.81 a barrel.
Prices have been rising this week after London-based newspaper Al-Hayat reported Monday that Saudi Oil Minister Ali al-Naimi had indicated that OPEC would evaluate the effect of October's decision to cut output when it meets next month in Abuja, Nigeria, and if necessary authorize another cut.
The Organization of Petroleum Exporting Countries announced in mid-October that it would reduce output by 1.2 million barrels a day, but skepticism that the cartel members are committed to production cuts, as well as milder-than-normal U.S. temperatures this fall, have moderated prices.
Oil prices have fallen by about 23 percent since hitting an all-time trading high above $78 a barrel in mid-July. They haven't settled above $62 a barrel since Oct. 1.
Traders were also focused on reports that called for wintry U.S. weather in the West to gradually move to the East by the end of the week.
In other Nymex trading, heating oil futures gained 0.12 cent to US$1.7295 per gallon