Oil prices steadied on Wednesday after the previous session's losses, as demand concerns owing to slow global economic growth were offset by fears of tighter global supply following Saudi Arabia's pledge to deepen output cuts.
Brent crude futures were up 9 cents, or 0.1%, at $76.38 a barrel at 0039 GMT. The U.S. West Texas Intermediate crude futures rose 11 cents, or 0.2%, to $71.85 a barrel.
"The market has digested the news of Saudi's production cut and investors are now reluctant to take a large position because of mixed economic forecasts and indicators in the United States and China," said Hiroyuki Kikukawa, president of NS Trading, a unit of Nissan Securities. But Saudi's deeper output cuts is unlikely to underpin a sustainable price increase into the high $80s-low $90s,on Tuesday, although UBS analysts forecast Brent at $95 a barrel by end-2023 with a supply deficit seen rising above 2 million bpd.
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