Oil rises towards $27 as OPEC+ begins record cut

  • Oil rose towards $27 a barrel on Friday as OPEC and its allies began a record output cut to tackle a supply glut weighing on the market due to the coronavirus crisis.
  • Output cuts of 9.7 million barrels per day by the Organization of Petroleum Exporting Countries, Russia and other producers, known as OPEC+, began on Friday. Even so, there are doubts the reduction, the largest ever agreed, will be enough.
  • Brent LCOc1 for July rose 37 cents, or 1.4%, to $26.85 by 1205 GMT. U.S. crude CLc1 for June added 83 cents, or 4.4%, to $19.67. Both benchmarks rallied sharply on Thursday. Brent rose 12% and U.S. crude gained 25%.

(Source: Reuters)