Brent crude continued to rally as the US market opened on Monday, to trade above $53 a barrel for the first time since March 2020, ahead of the OPEC-Plus meeting, amid expectations that the global coalition won't increase output February.

Brent crude rose 3.6% to the highest since March at $53.30 a barrel, after opening at $51.46, and hit a low of $51.40.

Brent crude futures gained 0.5% on Thursday, the third straight daily gain thanks to good news about coronavirus vaccines.

Brent crude futures lost 22% during 2020, the largest annual loss since 2015, due to the coronavirus pandemic that has sharply impacted the global demand for fuel.

OPEC-Plus will hold a joint ministerial committee meeting on Monday to discuss new developments in the market, and to review members' compliance with implementing their cuts shares during February.

OPEC-Plus agreed on early December to increase output by 500,000 barrels per day starting from January 2021, and agreed to hold a monthly ministerial meeting to review the market situation and adjust production levels accordingly.

OPEC-Plus also agreed on April that the third phase of the cut agreement will be lowered to 5.7 million bpd starting from January 2021 to April 2022.

The new decision replaces the planned hike of 2 million barrels, and the total of the new cuts is about 7.2 million barrels per day.

This comes as coronavirus infections continue to rise as the second wave of infections spreads in most parts of the world, which is expected to hit the global demand for fuel further and will lead OPEC-Plus to keep the current production levels unchanged in February.

European stocks rose on Monday, the first session of 2021, heading for the first daily gain in 3 days, and hit an 11-month high thanks to strong market sentiment after US stocks jumped to record highs at Wall Street.

The Stoxx Europe 600 index rose 1.4% as of 11:11 GMT, and hit the highest since February 405.74 points, after it closed lower by 0.25% on Thursday in the second straight daily loss due to profit-taking.

Stoxx Europe index gained around 0.8% during the past week, thanks to the good news about the Covid-19 vaccines, and the historic Brexit deal between Britain and the European Union.

The pan European index opened higher today, the first session of 2021, and hit an 11-month high with most of the major European markets and sectors seeing green.

The mining sector saw the largest gains in Europe today, rising more than 4.5%, followed by the travel and leisure sector, which rose more than 3.5%.

S&P 500 futures rose 0.75%, after the index closed higher by 0.6 on Thursday at Wall Street, and hit a record high of 3,760.20 points.

The first Covid-19 vaccination campaign was launched in the UK on Monday, using the AstraZeneca-Oxford vaccine, which is the second vaccine to be approved after the Pfizer-BioNTech vaccine.

The Brexit trade agreement began to take effect between the UK and the EU, a historic deal between London and Brussels to formulate their future relations after the Brexit transition period ended.

Back to Europe, the Euro Stoxx 50 index rose 1.5%, France's CAC 40 rose 1.7%, Germany's DAX rose over 1.4%, and the UK's FTSE 100 rose 2.75%.

Oil prices surged on Monday for the fourth straight session, and hit an 11-month high, ahead of the OPEC-Plus meeting, amid expectations that the global coalition won't increase output February.

US crude rose 3.4% to the highest since February at $49.80, after opening at $48.18, and hit a low of $48.15, and Brent crude rose 3.6% to the highest since March at $53.30 a barrel, after opening at $51.46, and hit a low of $51.40.

US crude gained 0.25% on Thursday, and Brent crude futures rose 0.5%, their third straight daily gain thanks to good news about coronavirus vaccines.

US crude lost 21.5% during 2020, and posted its largest annual loss since 2018, and Brent crude futures fell 22%, the largest annual loss since 2015, due to the coronavirus pandemic that has sharply impacted the global demand for fuel.

OPEC-Plus will hold a joint ministerial committee meeting on Monday to discuss new developments in the market, and to review members' compliance with implementing their cuts shares during February.

OPEC-Plus agreed on early December to increase output by 500,000 barrels per day starting from January 2021, and agreed to hold a monthly ministerial meeting to review the market situation and adjust production levels accordingly.

OPEC-Plus also agreed on April that the third phase of the cut agreement will be lowered to 5.7 million bpd starting from January 2021 to April 2022.

The new decision replaces the planned hike of 2 million barrels, and the total of the new cuts is about 7.2 million barrels per day.

This comes as coronavirus infections continue to rise as the second wave of infections spreads in most parts of the world, which is expected to hit the global demand for fuel further and will lead OPEC-Plus to keep the current production levels unchanged in February.

USD/JPY tilted lower in Asian trade to December 17 lows, following earlier data from Japan and ahead of US Fed speeches later today. 

As of 07:05 GMT, USD/JPY fell 0.17% to 103.04 with an intraday low at 102.94 and a high at 103.32.

Japan's manufacturing PMI rose to 50.00 from 49.7 last month.

From the US, manufacturing PMI is expected down to 56.3 from 56.5, while construction spending is expected up 1.1%. 

Federal Reserve Bank of Atlanta President Raphael Bostic is due to participate in a virtual panel discussion titled "Innovations in Measuring the Economic Impacts of COVID-19" at the American Economic Association Annual Meeting.

Federal Reserve Bank of Chicago President Charles Evans will also participate in a virtual panel discussion about current economic conditions and monetary policy at the American Economic Association Annual Meeting.