Oil prices edge up in anticipation of extended crude output cut
Saudi Arabia says will "do whatever it takes" to balance markets
* Production cut extension into 2018 seen as possible
* Relentless rise in U.S. oil output undermines OPEC-led efforts
* Slowdown in demand-growth in early 2017 also weighs on prices
Oil prices edged up on Tuesday, driven by anticipation that an OPEC-led pledge to cut production would be extended beyond the first half of the year and into 2018, although overall high supply still weighed on markets.
U.S. West Texas Intermediate (WTI) crude oil futures CLc1 were trading at $46.66 per barrel, up 23 cents, or 0.5 percent from the day before.
The higher prices were a result of top exporter and de facto OPEC leader Saudi Arabia saying on Monday it would "do whatever it takes" to rebalance a market that has been dogged by oversupply for over two years, resulting in crude prices below $50 per barrel.
Despite these statements from Saudi Arabia, crude prices remain near levels seen before OPEC announced its plans to cut late last year.
OPEC's efforts to tighten the market and prop up prices have been undermined by a relentless rise in U.S. production, especially from shale oil drillers.
U.S. crude production C-OUT-T-EIA has risen by over 10 percent since mid-2016 to 9.3 million bpd, close to the output of top producers Russia and Saudi Arabia.
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