WTI rose 4.7% to $37.59 a barrel on NYMEX, the highest price since early January. Brent climbed 4.9% to $40.63 a barrel on ICE Futures Europe, the highest level since December.
Oil prices have risen in recent weeks after Russia, Saudi Arabia, Venezuela and Qatar agreed to freeze their output at January levels.
The UAE’s energy minister said that current prices are forcing all suppliers to freeze their production.
“It doesn’t make any sense for anyone to increase the production with the current prices,” said Suhail bin Mohammed al-Mazrouei. “This is all good news for balancing the market. We just need to be patient.”
However, their agreement depends on both OPEC and non-OPEC producers agreeing to the plan. Iran, which is expected to increase its production this year, hasn’t agreed to the freeze.
It remains to be seen how influential the proposed agreement will be on crude prices going forward.