Russia triggers surge in oil prices

Alexander Novak said that in March Russia will begin a voluntary reduction in oil production by 500,000 barrels per day.

Reasons for the reduction.
According to the Deputy Prime Minister, Russia will take such a step to restore market relations. He added that in the future all oil production decisions would be based on the current market situation.

Novak stressed that the move to cut oil production would be voluntary. As the politician concluded, a reduction of 500 thousand barrels per day was planned for March this year.

The reaction to Novak
Immediately after the Russian Deputy Prime Minister's announcement on the reduction, the cost of oil rose sharply. Thus, Brent crude is trading at around $86 per barrel.

Let us remind you that Novak previously allowed a reduction in oil production against the background of the EU and the G7 countries' introduction of oil price limits.