Black Gold Shines, OPEC+ & China Get Investors Excited


 Oil commodity futures jumped 2% with OPEC+ sticking to its original policy and there was good news from China.

The results of the OPEC+ meeting decided to maintain the policy of reducing oil production by 2 million barrels per day, approximately 2% of the total global demand from November until the end of 2023.

At the same time, Xi Jinping's government announced that more major Chinese cities would ease Covid-19 restrictions, signaling a positive sign for oil demand.

As a result, Brent crude oil futures rose 2.29% at $87.53 a barrel while West Texas Intermediate (WTI) crude oil of the United States (US) rose 2.2% at $81.78 a barrel.

Analysts commented that the decision was indeed expected especially ahead of the issue of restrictions on oil production from Russia.

The European Union (EU) last week confirmed the import price limit of Russian marine crude starting today, followed by the US and G7 members who also took a similar approach to the sale of Russian oil to other countries.

Previously, oil prices dropped below $90 per barrel compared to $120 in early June ahead of the potential Russian oil embargo and the weakness of China's crude oil demand due to the Covid-19 restrictions.