The price of oil jumped by about $2 per barrel, helped by statements by Russian Deputy Prime Minister Alexander Novak that Russia plans to reduce oil production by 500,000 barrels per day in March.
Since the beginning of the week, Brent and WTI oil prices have risen by 8.4% and 9.3%, respectively, offsetting most of the losses of the previous week, as concerns about a further sharp increase in interest rates by the Fed have eased. The market was supported by the decision of Saudi Arabia to raise official prices for the sale of crude oil to Asia, which is believed to reflect the recovery in demand in China, where an increase in crude oil supplies is expected in March.
Looking ahead, we can say that the demand for oil in China will be one of the most important factors affecting prices, Wood Mackenzie experts said.
"There are signs of stabilization or a decrease in the number of COVID cases, which will contribute to positive sentiment regarding oil prices," they said.