International Market of Oil opens higher as the new year starts

The international market of oil opened with a high rise as the new year begins, crude oil prices opened with gains in first days of 2020.

As per the details, international market of oil awaits additional productivity cuts by members of Organization of the Petroleum Exporting Countries (OPEC) and its allies to trim the glut of oil supply around the world.

International benchmark Brent crude trading at $66.22 per barrel for a 0.33% gain after it closed on Dec. 31 at $66 a barrel.

American benchmark West Texas Intermediate traded at $61.20 a barrel at the same time for a 0.23% increase after it ended 2019 at $61.06 per barrel.

However, Led by Saudi Arabia, OPEC’s 14 members and Russia-led 10 non-OPEC countries agreed on Dec. 6 in Vienna to lower their collective oil production by an additional 500,000 barrels per day (bpd) starting from Jan. 1 until the end of March 2020.

Moreover, The recent reduction comes on top of the existing cut of 1.2 million bpd that agreed in December 2018.

The group dubbed as OPEC+ will convene in Vienna on March 5-6.

To reassess supply and demand in the global oil market, and see if additional action is needed to support prices.

The U.S, the world’s largest crude oil producer, saw its output increase again to a record-high level of 12.9 million bpd for the week ending Dec. 20, according to the country’s Energy Information Administration (EIA).

Change in crude oil inventories and production of the U.S. to get release late Friday.

Instead of the usual Wednesday, this week due to the New Year’s Day holiday.