Saudi Arabia and Russia announced that the oil production cuts, starting in July and extending into August and September, are to continue into the end of the year. The news sent already elevated oil markets even higher as the cuts exacerbate an already tight market.
The 5-minute chart below shows the markets immediate reaction to the three-month commitment as it had previously only committed one month in advance when it came to production cuts. Brent crude rose by around $1.38 in the first 5-minutes of the announcement, pulled back slightly and then caught another wave of upside momentum to around $91 at the time of writing.
