Oil prices rose by about two percent, Thursday, after two decisions announced by Saudi Arabia and Russia that would reduce supplies in the market until next September, and perhaps after that.
Brent crude futures rose 1.94 dollars, or 2.3 percent, to settle at 85.14 dollars a barrel.
US West Texas Intermediate crude rose $ 2.06, or 2.6 percent, to settle at $ 81.55.
Oil prices rose despite concerns that some central banks around the world will continue to raise interest rates to reduce persistent inflation, which could cause slower economic growth and reduce demand for oil.”
Saudi Arabia said, earlier on Thursday, that it will extend a voluntary cut in oil production of one million barrels per day for a third month, including next September, adding that it is possible to extend the cut or increase its amount after that.
Russian Deputy Prime Minister Alexander Novak also said that Moscow will reduce oil exports by 300,000 barrels per day next September as well.
These cuts come in addition to the decision of the (OPEC Plus) alliance, which includes the Organization of the Petroleum Exporting Countries (OPEC) and allies, including Russia, last June to cut oil supplies until 2024.
Source: National Iraqi News Agency