Oil Prices Hit New High For This Year

Oil Prices Hit New High For This Year

U.S. crude oil prices jumped 4.5% to $42.17 a barrel, after Russian news agency Interfax reported the deal.

However Russian agencies declined to comment on the news as did Qatar, which holds the rotating presidency of OPEC, the oil cartel.

This report came on the heels of a crucial meeting between OPEC and non-OPEC countries in Doha on Sunday. Investors hope the world’s top oil producers will reach a broader deal to control the global oil supply.

Prices have tumbled over the last two years because of a major oil glut, where the world has way more oil than it can consume. It’s caused issues fro major oil producing countries, Saudi Arabia has cut government spending in the light of declining oil revenues. Some other countries in the Gulf , including Kuwait, the United Arab Emirates and Qatar have also hiked taxes and slashed their budgets.

Share this post