{"id":107298,"title":"BP and Shell leap after production cut by Opec+","publisher":"Share Talk","author":"sharetalk","published":"2023-04-03T09:14:23+00:00","modified":"2023-04-03T09:14:23+00:00","canonical_url":"https://www.share-talk.com/bp-and-shell-leap-after-production-cut-by-opec/","markdown_url":"https://www.share-talk.com/bp-and-shell-leap-after-production-cut-by-opec.md","json_url":"https://www.share-talk.com/bp-and-shell-leap-after-production-cut-by-opec.json","category":"Blogs","categories":["Blogs","Energy"],"tags":["Asia","BP","economy","Jamal Khashoggi","Joe Biden","Mohammed bin Salman","oil","OPEC","President","Riyadh","Russia","Saudi Arabia","Shell","UAE","USA"],"featured_image":"https://i0.wp.com/www.share-talk.com/wp-content/uploads/2023/11/Stencil-Google-Chrome-2023-04-19-at-2.47.43-PM.jpeg?fit=1231%2C615&quality=89&ssl=1","format":"news","language":"en-GB","content":"**BP PLC (LSE:BP.)** and **Shell PLC (LSE:SHEL, NYSE:SHEL)** led the FTSE 100 risers after the announcement of a surprise cut in oil production by OPEC+ members.\n\nThe decision caused oil prices to soar, with Brent crude trading 5.3% higher at $84.10 and West Texas Intermediate up 4.9% at $79.43. Nigel Green at deVere Group described it as a significant reduction in a market where supply was expected to be tight for the second half of 2023.\n\nSaudi Arabia pledged a voluntary cut of 500,000 barrels per day, while Russia extended its existing 500,000b/d production cut until year-end. Shares in BP and Shell rose by 4.2% and 3.9%, respectively.\n\nDeutsche Bank warned that it could lead to inflation and prompt central banks to maintain higher interest rates for longer, hindering economic growth.\n\nOPEC+ comprises 13 OPEC member countries, primarily in the Middle East, and 10 non-OPEC countries, including Russia, Mexico, and Kazakhstan."}