UPDATE

UPDATE AT 6 PM DECEMBER 18

Crude oil rose from a four-year low on speculation

OPEC’s record output cut will reduce surplus

supplies next year.

OPEC yesterday agreed that the group’s 11 members

with quotas will trim current production by 9 percent

in an attempt to stabilize prices. Russia and Azerbaijan

signaled they be willing to reduce supplies as well.

Global stockpiles could fall as much as 3 million

barrels a day in the first quarter of next year,

according to Petromatrix GmbH.

Crude oil for January delivery rose as much as 84 cents,

or 2.1 percent, to $40.90 a barrel in electronic trading

on the New York Mercantile Exchange today. It traded at

$40.73 a barrel at 12:08 p.m. London time.

The contract expires tomorrow. The more actively traded

February contract rose as much as 2.3 percent to $45.64

a barrel. Prices dipped to a four-year low yesterday

after U.S. crude and fuel stockpiles gained and on

concern OPEC members may not comply with agreed cutbacks.