Oil rises by more than 2% amid expectations of increased OPEC cuts

Oil prices rose by more than 2% on Monday, amid expectations of further cuts to OPEC+ production. The producer group, which includes the Organization of the Petroleum Exporting Countries and allies including Russia, is set to meet on November 26 to consider additional supply cuts. Three OPEC+ sources have told Reuters that the group intends to discuss this matter. If the cuts are approved, they will be minor, according to John Kilduff, a partner at Again Capital. “The Saudis have reduced a lot of production, and I don’t know what more they can do than that,” he said. Brent crude futures rose $1.71, equivalent to 2.1%, to $82.32 per barrel, while West Texas Intermediate crude futures expired. The median for the nearest month of December is at $77.60, up $1.71, or 2.3%. The most active January futures contract rose $2.39 to $77.83, up 1.8%. The two benchmarks fell for four straight weeks, but rebounded on Friday. The settlement price is at a 4% rise amid profit-taking. Oil prices have fallen approximately 20% since late September, as crude production in the United States, the world’s largest producer, remains at unprecedented levels. There is also concern in the market about the growth in demand, especially from China, the largest oil importer.