UPDATE 9-Oil hits 11-month highs on Saudi cuts, shrugs off U.S. turmoil

* Record N. Sea cargoes trade on Platts amid Saudi cuts
* Stocks climb after Democrats win control of U.S. Senate

(Updates with settlement prices)
By Laura Sanicola
NEW YORK, Jan 7 (Reuters) - Oil prices settled higher on
Thursday, hitting 11-month peaks, as markets remained focused on
Saudi Arabia's unexpected pledge to deepen its oil cuts and
firmer equities, shrugging off political turmoil in the United
States.
Brent crude LCOc1 settled up 8 cents to $54.38 a barrel
after touching $54.90, a high not seen since before the first
COVID-19 lockdowns in the West.
U.S. West Texas Intermediate (WTI) CLc1 settled up 20
cents to $50.83, after hitting a session high at $51.28.
On Wednesday, crude futures prices briefly dipped when
President Donald Trump's supporters stormed the U.S. Capitol
after he urged them to protest Congress's certification of his
election loss.
Oil prices have been supported this week by a pledge by
Saudi Arabia, the world's biggest oil exporter, to cut output by
an additional 1 million barrels per day (bpd) in February and
March. "By next month, this bull market could re-establish into
higher levels mainly with the benefit of Saudi Arabia's
unexpected voluntary 1 million bpd production cut," said Jim
Ritterbusch, president of Ritterbusch and Associates in Galena,
Illinois.
Seven North Sea crude cargoes were bought and sold in the
trading window operated by Platts on Thursday, a record amount
that trade sources say may reflect tighter supply after the
surprise cut. "Saudi Arabia ...intimately knows the relationship between
the oil price and the global inventory levels. Lower inventories
equal higher prices," SEB chief commodity analyst Bjarne
Schieldrop said.
Global equities were higher as investors believe Democratic
U.S. President-elect Joe Biden would be empowered to spend more
freely following victories by two Democrats in Senate races in
Georgia that gave the party control of both chambers of U.S.
Congress. "Expected stimulus measures under a Biden administration
that will likely include significant infrastructure investment
represents a supportive consideration capable of boosting
gasoline and diesel demand," Ritterbusch said.

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CHART: U.S. oil may revisit Wednesday low of $49.48
Brent oil may retest support at $53.13 ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>