Oil prices rose on Wednesday after a reported sharp drop in U.S. crude stocks and OPEC member Iraq said the producer group would discuss deepening output cuts amid ongoing demand concerns.

Brent crude gained 0.9% to $62.94 a barrel, while U.S. West Texas Intermediate rose 1.1% to $58.03 a barrel.

Oil prices have risen more than 7% this month, supported by declines in global inventories and signs of an easing in trade tensions between the United States and China, the world’s two largest economies and energy consumers.

Prices rose this week after Prince Abdulaziz bin Salman, Saudi Arabia’s new energy minister, said oil policy would not change and said an OPEC deal with Russia and other producers to cut output by 1.2 million barrels per day (bpd) would be maintained.

Source : Reuters