Global crude oil prices edge higher after output cut

The OPEC+ group of oil producers agreed at the weekend to cut output by 9.7 million barrels per day in May

LONDON: Oil prices edged higher on Monday in a muted response to a global deal on record output cuts amid concerns over whether the pact will head off an oil glut as the coronavirus pandemic hammers demand.

The OPEC+ group of oil producers, comprising the Organisation of the Petroleum Exporting Countries, Russia and other countries, agreed at the weekend to cut output by 9.7 million barrels per day (bpd) in May and June, representing about 10% of global supply.

Brent crude futures were up 53 cents, or 1.7%, at $32.01 a barrel, having opened at a session high of $33.99. US West Texas Intermediate (WTI) crude was up 86 cents, or 3.8%, at $23.62, having earlier hit $24.74.

US President Donald Trump praised the oil supply deal, the possibility of which he had first touted on April 2.

Published in The Express Tribune, April 14^th, 2020.

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