Oil traders sent mixed signals on Tuesday. The price of West Texas crude oil was settled higher on Tuesday at $52.33 per barrel on the NYMEX.
The price of Brent oil, meantime, settled down 11 cents from yesterday's price at $55.72. The percentage point decrease was approximately 0.10%.
Oil futures were supported by a powerful demand from Asia.
Production cuts were promised by Kuwait, Qatar and Abu Dhabi.
The closing price was a 17-month high for West Texas oil.
Some analysts said that many investors were taking profits today based on recent market gains. The gains were driven by production cuts by OPEC and non-OPEC countries. The countries are cutting oil production by a combined 1.8 million barrels per day.
According to these analysts, the market, overall, will still be influenced by the oil production cuts.
Many investors and analysts are skeptical that all oil producing parties will adhere to the planned cuts.
One signal that producers are acting on their plans to cut output, Abu Dhabi National Oil Company told investors it is reducing Murban and Upper Zakum crude supplies by 5% and Das crude exports by 3%.
Kuwait's Petroleum Corporation (KPC) also on Tuesday briefed investors of a coming cut in its contractual crude oil supplies for January of 2017.
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