Oil prices rose in early Asian trading on Monday after the OPEC+ alliance decided to suspend production increases for the first quarter of next year.
Brent crude futures increased by 47 cents, or 0.73%, to $65.24 a barrel, having closed up by 7 cents last Friday.
West Texas Intermediate (WTI) crude also saw a rise, gaining 45 cents or 0.74% to $61.43 a barrel, following a previous session close that marked a jump of 41 cents.
Eight countries within the OPEC+ alliance agreed to increase their crude oil production quotas for December, while also announcing they would not raise any quotas in the first quarter of 2026.
The coalition stated that it would boost production by 137,000 barrels per day compared to the required production levels for November, reflecting a stable global economic outlook and positive market fundamentals, as evidenced by declining oil inventories.
Additionally, these countries decided to halt monthly production increases for January, February, and March of the coming year.
It’s worth noting that both Brent and WTI have dropped by more than 2% for three consecutive months, recording their lowest levels in five months on October 20, amidst concerns of oversupply and economic worries regarding US tariffs.
