Oil prices hit $58 dollars

Oil prices have taken a leap by over four percent as at early Monday, 12, December, 2016 after OPEC an other producers reached their first output cut deal since 2001. This is highest level since early 2015. 

Brent sweet crude futures, the international benchmark for oil prices, soared to 57.89 dollars per barrel in overnight trading between Sunday and Monday, its highest level since July 2015. U.S. West Texas Intermediate (WTI) crude futures also hit a July 2015 high of 54.51 dollars a barrel. With the deal finally signed after a year,the market’s focus will now switch to compliance with the agreement. ANZ bank said that Saudi Aramco, Saudi Arabia’s state-controlled oil company, had informed customers that their allocations would be reduced in January 2017, in line with the recent OPEC production cut agreement.”