Oil prices surged on Monday after Saudi Arabia and Russia announced they will continue voluntary supply reductions until the year-end. Brent crude reached $86.14 a barrel, and US West Texas Intermediate rose to $81.80.
This move followed a 6% decline in both oil benchmarks the previous week. Saudi Arabia committed to an extra voluntary cut of 1 million barrels per day, aiming to maintain output at around 9 million bpd.
Russia also pledged to uphold its additional voluntary cut of 300,000 bpd in crude oil and petroleum product exports through December. The decision came after concerns about weaker global demand and a decrease in oil prices last week.