Oil prices rose around 1% on Friday, adding to gains in the previous session, after OPEC producers and allies promised to meet commitments on cutting supply and two major oil traders said demand was recovering well.
Brent crude LCOc1 futures rose 35 cents, or 0.8%, to $41.86 a barrel by 0446 GMT. U.S. West Texas Intermediate (WTI) crude CLc1 futures climbed 38 cents, or 1%, to $39.22 a barrel. Both contracts rose around 2% on Thursday and are heading for weekly gains of 8%, as reported by Reuters.
Plans by Iraq and Kazakhstan to make up for overproduction in May on their supply cut commitments supported the market. The promises came out of a meeting by a panel monitoring compliance by the Organization of Petroleum Exporting Countries and its allies, a grouping called OPEC+.
If the laggard producers do compensate over the next three months for their overproduction, that will effectively take extra barrels out of the market, even if OPEC+ does not extend its record 9.7 million barrels per day supply cut beyond July.