The Saudi government said on Monday it was willing to use all measures necessary to ensure a stable oil market.

As of 12:00 front month Brent crude futures were cutting their losses to trade down by 1.04% at $44.20 per barrel on the ICE.

In a statement issued on Monday the Kingdom´s government cabinet said the country remained ready to work with other producing and exporting countries in order to stabilise prices.

"The Cabinet stressed the Kingdom´s role in the stability of the oil market its constant readiness and continuing pursuit to cooperate with all oil producing and exporting countries."

The news broke as futures were nearing their lowest levels in two-and-a-half months and after data from the US Commodity Futures Trading Comission revealed that big hedge funds had increased their bets for a slide in the price oil to the most since 2009.

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