Oil rises as investors grow optimistic over OPEC deal

Oil rose for a fifth day yesterday, on track for its strongest first quarter in eight years, thanks to a growing belief among investors that OPEC’s supply cuts will prevent a build-up in unused fuel, though concern over China’s economy tempered gains. Brent futures were last up 22 cents at $66.47 a barrel by 1557 GMT, having touched a 2019 high of $66.83, while U.S. futures rose 35 cents to $55.94 a barrel.

Oil has risen nearly 25 percent so far this year and is on course for its strongest first-quarter performance since 2011, thanks largely to a commitment by the Organization of the Petroleum Exporting Countries and allies to cut output. Refiners around the world are also having to pay more to secure supplies of the medium, or heavy, sour crudes produced by Iran and Venezuela, both of which are under U.S. sanctions.

The broader financial markets eased a little after data showing a drop in Chinese car sales in January raised concerns about the world’s second-largest economy. US energy companies last week increased the number of oil rigs.