Surprise new cuts to the OPEC+ group’s output targets could push oil prices towards $100 a barrel, setting the scene for another clash with the West grappling with higher interest rates, analysts and traders said.
The decision signals unity within OPEC+ despite Washington’s pressure on its Gulf allies to weaken their ties with Moscow, while also undermining the West’s efforts to limit Russia’s oil income.
Oil prices jumped over 6 per cent on Monday after the Organization of the Petroleum Exporting Countries and their allies including Russia announced further production target cuts of about 1.16 million barrels per day (bpd) from May through the rest of the year.
