Oil was little changed

West Texas Intermediate oil was little changed following a 1.5 percent tumble on Feb. 15, the biggest drop in two weeks. Saudi Arabia is likely to cut exports further this year, a BP Plc economist said.

New York crude declined as much as 0.4 percent before rebounding, while Brent crude was little changed in London. There’s no scarcity of supply and Saudi Arabia will probably reduce exports further, depending on the actions of other OPEC members, BP Chief Economist Christof Ruehl said in an interview in London today. Brent’s premium to WTI widened. Data from the Federal Reserve showed U.S. industrial production shrank unexpectedly in January.

Crude for March delivery traded in a range of  $95,45 – 95,99 a barrel in electronic trading on the New York Mercantile Exchange. Floor trading in New York will be closed today for the U.S. Presidents’ Day holiday. Electronic trading will cease at 1:15 p.m. Eastern time, resuming at 6 p.m.

Brent oil for April settlement on the ICE Futures Europe exchange was down 6 cents at $117.60 a barrel, with trading volume 65 percent below the 100-day average. The European benchmark crude was at a premium of $21.38 to WTI, versus $21.25 on Feb. 15. The gap had expanded to $23.18 on Feb. 8, the widest since Nov. 26.