Oil price climbs as OPEC, Russia approve record output cut
Reuters – the Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia agreed on Sunday to a record cut in output to prop up oil prices amid the coronavirus pandemic and said they had an unprecedented deal with fellow oil nations, including the United States, to curb global oil supply by 20%.
After four days of wrangling, OPEC, Russia and other producers, a group known as OPEC+, said it had agreed to reduce output by 9.7 million barrels per day (bpd) for May and June, after four days of talks and following pressure from U.S. President Donald Trump to arrest the price decline.
After the historic output cut, oil prices jumped more than $1 a barrel on Monday, but gains were capped amid concern that it won’t be enough to head off oversupply with the coronavirus pandemic hammering demand.
