Oil futures edged higher early Tuesday, continuing to gain support from expectations that the OPEC oil cartel may cut output further at its meeting this weekend.
Crude oil for April delivery gained 60 cents, or 1.3%, to $47.72 a barrel in electronic trading on Globex.
Earlier, the contract surged to an intraday high of $48.18.
Saudi Arabia's state oil giant, Saudi Aramco, will maintain cutbacks on April term crude supply to Asia at up to 15%, similar to volumes to be shipped for March, traders from Asian refineries and one global oil major said Tuesday, according to a report by Dow Jones Newswires.
Saudi Arabia is the most influential member of the Organization of Petroleum Exporting Countries.
OPEC has implemented a reduction in output of 4.2 million barrels a day since September, equivalent to about 5% of global oil demand. The cartel will meet in Vienna, Austria, on March 15.
"We are seeing the usual mixed signals ahead of the OPEC meeting," said Edward Meir, an analyst at MF Global.
"Although the Venezuelans and the OPEC Secretary General have both said recently that the cartel would push for another cut when it next meets, the Saudis countered by saying that it prefers the group do a better job in enforcing existing compliance," he said in a research note.
The more hawkish camp will likely succeed in pushing through another cut of 500,000 to 1,000,000 barrels per day, Meir said.
Nimit Khamar, an analyst at Sucden Financial Research, said that oil prices may be vulnerable to a sharp pullback of OPEC doesn't cut output further.
"At the OPEC meeting this weekend, if cuts are agreed, then they are likely to be in the region of 500,000 barrels," Khamar said in a research note. "With economic conditions still looking glum, more supplies would need to be removed from the market to keep up with declining demand. Until we see this happen a sustained rally beyond $50 is unlikely."
Also on Globex, April reformulated gasoline fell 1 cent to $1.32 a gallon, while April heating oil gained 1 cent to $1.22 a gallon. April natural gas futures rose 1 cent to $3.87 per million British thermal units.
On Wall Street, U.S. stock futures rose on Tuesday, as the chief executives of beleaguered banks CitigroupOil futures edged higher early Tuesday, continuing to gain support from expectations that the OPEC oil cartel may cut output further at its meeting this weekend.
Crude oil for April delivery gained 60 cents, or 1.3%, to $47.72 a barrel in electronic trading on Globex.
Earlier, the contract surged to an intraday high of $48.18.
Saudi Arabia's state oil giant, Saudi Aramco, will maintain cutbacks on April term crude supply to Asia at up to 15%, similar to volumes to be shipped for March, traders from Asian refineries and one global oil major said Tuesday, according to a report by Dow Jones Newswires.
Saudi Arabia is the most influential member of the Organization of Petroleum Exporting Countries.
OPEC has implemented a reduction in output of 4.2 million barrels a day since September, equivalent to about 5% of global oil demand. The cartel will meet in Vienna, Austria, on March 15.
"We are seeing the usual mixed signals ahead of the OPEC meeting," said Edward Meir, an analyst at MF Global.
"Although the Venezuelans and the OPEC Secretary General have both said recently that the cartel would push for another cut when it next meets, the Saudis countered by saying that it prefers the group do a better job in enforcing existing compliance," he said in a research note.
The more hawkish camp will likely succeed in pushing through another cut of 500,000 to 1,000,000 barrels per day, Meir said.
Nimit Khamar, an analyst at Sucden Financial Research, said that oil prices may be vulnerable to a sharp pullback of OPEC doesn't cut output further.
"At the OPEC meeting this weekend, if cuts are agreed, then they are likely to be in the region of 500,000 barrels," Khamar said in a research note. "With economic conditions still looking glum, more supplies would need to be removed from the market to keep up with declining demand. Until we see this happen a sustained rally beyond $50 is unlikely."
Also on Globex, April reformulated gasoline fell 1 cent to $1.32 a gallon, while April heating oil gained 1 cent to $1.22 a gallon. April natural gas futures rose 1 cent to $3.87 per million British thermal units.
On Wall Street, U.S. stock futures rose on Tuesday, as the chief executives of beleaguered banks CitigroupOil futures edged higher early Tuesday, continuing to gain support from expectations that the OPEC oil cartel may cut output further at its meeting this weekend.
Crude oil for April delivery gained 60 cents, or 1.3%, to $47.72 a barrel in electronic trading on Globex.
Earlier, the contract surged to an intraday high of $48.18.
Saudi Arabia's state oil giant, Saudi Aramco, will maintain cutbacks on April term crude supply to Asia at up to 15%, similar to volumes to be shipped for March, traders from Asian refineries and one global oil major said Tuesday, according to a report by Dow Jones Newswires.
Saudi Arabia is the most influential member of the Organization of Petroleum Exporting Countries.
OPEC has implemented a reduction in output of 4.2 million barrels a day since September, equivalent to about 5% of global oil demand. The cartel will meet in Vienna, Austria, on March 15.
"We are seeing the usual mixed signals ahead of the OPEC meeting," said Edward Meir, an analyst at MF Global.
"Although the Venezuelans and the OPEC Secretary General have both said recently that the cartel would push for another cut when it next meets, the Saudis countered by saying that it prefers the group do a better job in enforcing existing compliance," he said in a research note.
The more hawkish camp will likely succeed in pushing through another cut of 500,000 to 1,000,000 barrels per day, Meir said.
Nimit Khamar, an analyst at Sucden Financial Research, said that oil prices may be vulnerable to a sharp pullback of OPEC doesn't cut output further.
"At the OPEC meeting this weekend, if cuts are agreed, then they are likely to be in the region of 500,000 barrels," Khamar said in a research note. "With economic conditions still looking glum, more supplies would need to be removed from the market to keep up with declining demand. Until we see this happen a sustained rally beyond $50 is unlikely."
Also on Globex, April reformulated gasoline fell 1 cent to $1.32 a gallon, while April heating oil gained 1 cent to $1.22 a gallon. April natural gas futures rose 1 cent to $3.87 per million British thermal units.
On Wall Street, U.S. stock futures rose on Tuesday, as the chief executives of beleaguered banks Citigroupand Bank of America defended their performance.
