Market News

(Bloomberg) -- Oil rose as a key pipeline linking Kazakh fields to Russia’s Black Sea coast halted loading after one of its three moorings was damaged in an attack over the weekend.

Brent traded above $63. The Caspian Pipeline Consortium carries most of Kazakhstan’s crude exports, which have averaged 1.6 million barrels a day so far this year.

Ukraine hasn’t commented on the incident at the CPC facility, although it confirmed separate attacks on an oil refinery and tankers over the weekend.

The incident came after the OPEC+ producer-group led by Saudi Arabia reiterated a three-month plan to halt output hikes in the first quarter of next year. OPEC+ again said the move reflected weaker seasonal market conditions. A major surplus is expected in the early part of next year.

Oil posted a fourth consecutive monthly drop in November as expectations for a swelling surplus weighed on the outlook, with the International Energy Agency forecasting a record glut in 2026. Still, geopolitical tensions from Russia to Venezuela — where President Trump warned airspace should be considered closed over the weekend, add to the bullish risks for prices.

“While the outlook for the market is bearish with expectations of a large surplus, lingering supply risks mean that it is taking longer for these bearish fundamentals to be fully reflected in prices,” said Warren Patterson, Singapore-based head of commodities strategy at ING Groep NV.

--With assistance from Sarah Chen.