Oil prices rose 3% (February 29) on Monday, after China adopt measures to boost the economy, the organization of petroleum exporting countries (OPEC) and America's oil production decline, Saudi Arabia vowed to limit market volatility, suggest that oil prices up to 20 months of decline may be bottoming out.
Brent crude oil in recent months, 4 months closed up $0.87, or 2.5%, to $35.97 a barrel, touched $36.74 a barrel. The contract is due today. 5 months closed up $1.13, or 3.2%, to $36.57 a barrel.
U.S. crude oil in recent months, the contract rose $0.97, or 3%, to $33.75 a barrel, intraday high hit $33.98 a barrel.
China's central bank unexpectedly cut interest rates on Monday, the fifth lowered the deposit reserve rate for a year. China is the world's largest oil importer.
U.S. government data showed that us oil production fell for the third consecutive month in December, the lowest since December 2014, oil demand rose for the first time since last August.
In February, according to a Reuters poll OPEC oil production from their recent record levels drop, due to sluggish in northern Iraq and other producers production disruptions.
Saudi Arabia vowed to "continue to contact with other major oil producing countries, in an effort to limit oil price fluctuations". Previously with the OPEC members venezuela, Qatar and non-opec Russia reached a limit production level of agreement in January, is to accelerate the implementation of the plan.
"We have to accept the fact that oil prices will level up from now," BRG Brokerage of energy traders Jeffrey Grossman said.
High above the oil hitting $100 compared with 2014 years is still down about 70%, but in the past two weeks to rise, some traders and investors to question whether the market has reached the bottom of the recent.
According to a Reuters poll, analysts expect the average oil prices this year in slightly more than $40 a barrel.
From Goldman sachs to Morgan Stanley and barclays, each big bank thinks, such as production, not production freeze will not significantly boost prices.
Iran is a stumbling block to Saudi Arabia plans, the country plans to raise its oil production to export levels before the sanctions. Iran's government said on Monday that the peak value of export increase to 1.75 million barrels a day last month.
Beijing time 5:59, beauty oil at $33.90 a barrel, oil at $36.66 a barrel.