OPEC agrees to curb output, crude oil prices soar

According to Bloomberg, OPEC members finally came to terms with the production cut in an attempt to curb the global oversupply situation after long-lasting and mostly tense negotiations. Although the decision is not official, crude oil prices have jumped earlier in the day by more than $3/bbl in daily trading.

January ICE Brent futures for January moved above the threshold of $50 per barrel on Wednesday’s daily trading after closing Tuesday at $46.38/ton. WTI futures on NYMEX soared as well to push near the $49/bbl level while February futures moved above it in daily trading.

OPEC will cut production by 1.2 million barrels a day to 32.5 million a day, according to Bloomberg. The meeting is still proceeding at the time of press with no official announcement about the details of who will cut by how much.