Surge byalmost 6% in transactions marked today by the prices ofoil, after the rather unexpected announcement by five OPEC+ countries of large production cuts in May.
Specifically, the price of a barrel of WTI (West Texas Intermediate) , the US benchmark variety, is up 5.74% at $80.01 and close to 8% in early trade, while North Sea Brent is up 5 .67%, reaching $84.42.
The significant rise comes after the Gulf oil giants (Iraq, Algeria, Saudi Arabia, United Arab Emirates and Kuwait) announced that they would reduce their oil production as a “precautionary measure” aimed at stabilize the market.
More specifically, Riyadh, Abu Dhabi and Kuwait will cut production by a combined 772,000 barrels per day from May until the end of the year, thethree countries said of the Gulf in announcements made public by the respective official media.
At the same time, Iraq, one of the largest oil producers, announced a reduction of 211,000 barrels per day in its production from May 1, and Algeria, for its part, is moving forward with a “voluntary reduction of 48,000 barrels per day, from May until the end of 2023, in coordination with some OPEC member and non-member countries”, according to a statement.
source: CNN Greece
