OPEC’s Oil Surprise Came as Skeptics Doubted Price Rise
- Net-bullish bets on WTI plunge 24%, most since early October
- OPEC+ agreed to cut output by additional 500,000 barrels a day
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Oil doubters got a surprise from Saudi Arabia on Friday: a pledge of deeper production cuts that sent futures surging for their best week since June.
Hedge funds didn’t see that coming as they slashed net-bullish wagers on West Texas Intermediate crude by 24% in the days leading up to the OPEC meeting in Vienna, data released Friday show. Futures ended the week 7.3% higher in New York, closing above $59 a barrel for the first time since the aftermath of an attack on Saudi premises in September.