Crude Oil Jumped 3% High To $97 Per Barrel

brent oil prices

Brent Crude Oil : Jumped 3% to nearly 5-week highs above $97 per barrel on Friday and were set to gain more than 13% this week, the most since early March as OPEC+ agreed to cut production by 2 million barrels per day or about 2% of global supply from November.

That would be the biggest output cut since the start of the pandemic, though Saudi Arabia’s oil minister said the actual cut will likely be around 1-1.1 million barrels as some members are already pumping below targets.

US President Joe Biden showed dismay over OPEC+’s decision on Thursday and said the US was looking for ways to keep prices from rising. Goldman Sachs significantly raised its oil price forecast after the OPEC+ move, projecting Brent prices to reach $104 per barrel this year and $110 per barrel in 2023.

Adding to supply concerns, Russia warned again this week that it won’t sell oil to countries that support the US-led plan to impose a price cap on Russian oil.