Crude oil price today hit another level high this year after OPEC and non-OPEC producers reached a deal to jointly cut oil output in order to ease the global glut and help the oil market recover. At a meeting in Vienna over the weekend, Non-OPEC producers agreed to join OPEC producers in a supply cut scheme.
Non-OPEC producers agreed to cut their oil output by 558,000 barrel per day. Russia would contribute the most in this cut by lowering its oil output by 300,000 barrel per day. Mexico would also be cutting its oil output by 100,000 barrel per day. Another 45,000 bbl/day and 20,000 bbl/day cuts would be contributed both by Oman and Kazakhstan.
Brent Crude Oil Price
Following the news, oil prices spiked sharply at the start of trading week. At the time of writing this update, Brent crude and WTI were up around 4 percent to $56.64/bbl and $53.82/bbl respectively. The rise in oil prices is expected to continue throughout the week reaching new level high.
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