Oil wobbled Tuesday as traders mulled a pledge from Russia and Saudi Arabia to address the chronic supply glut that has hammered the market in recent years.

At 1130 GMT, US benchmark West Texas Intermediate for October delivery was 50 cents higher at $44.94 a barrel.

Brent North Sea crude for November fell 19 cents to $47.44 a barrel compared with Monday’s close.

Prices had surged Monday on news that Saudi Energy Minister Khaled Al-Falih and Russian counterpart Alexander Novak were to make a joint announcement after meeting on the sidelines of the G20.

However, the bumper gains were all but wiped out after the statement underwhelmed the market and provided scant detail about their plans.

The pair agreed to “act together” to steady the market — but stopped short of a production freeze.

“Oil prices have again shed some of the significant gains they achieved yesterday,” said Commerzbank analyst Carsten Fritsch.

Source: AFP