The price of oil rose on Monday, against the background of optimism regarding demand from China, production cuts by major producers and Russia’s plans to keep supplies under control, reports Reuters.

Brent crude was up $1.08, or 1.3%, at $84.08 a barrel, while West Texas Intermediate (WTI) was up $0.96, or 1. 3% to $77.30.

On Friday, the quotations fell by about two dollars, and for the whole of last week there was a decline of about 4%, after the US announced higher inventories of crude oil and gasoline.

On October 5, the OPEC+ group (composed of the Organization of the Petroleum Exporting Countries and other major crude oil producers) decided on the most significant cut in oil production since the pandemic in 2020, cutting supplies at a time when the market is tense, despite pressure from the US and other countries to pump more. Gathered in Vienna, the representatives of the 13 member states of the Organization of the Petroleum Exporting Countries (OPEC) and the 10 allied states, under the umbrella of OPEC+, agreed that, starting in November, they will reduce their production by two million barrels per day (bpd), to support the price increase. The agreement is valid until the end of 2023, according to Agerpres.

Separately, Russia plans to cut its oil output by 500,000 bpd in March, about 5% of its output, following Western sanctions.

Analysts expect China’s oil imports to hit a record this year, following the start of production at new refineries.

After the imposition of the EU embargo, China and India became the main buyers of Russian oil.

But Goldman Sachs analysts recently warned that by the end of the year the price of oil could reach $100 due to supply disruptions.