INVESTMENT IN OIL TO PICK UP
Leading oil exploration and production companies will increase their global capital spending by 3% in 2017 to $450bn, ending two years of steep declines, according to forecasts by Wood Mackenzie. The expected ramp-up in spending comes as a recovery in crude prices has improved confidence in the sector, ft.com reported. Brent crude has been trading at about $55 a barrel, double the lows hit early in 2016, after Opec and non-Opec members agreed in December on their first production cut in a decade. “We’ve bottomed out but I don’t think we’re off to the races,” Iain Armstrong, analyst at Brewin Dolphin, told ft.com.