Brent rises over 2% after Russia's production statements

International benchmark Brent rose over 2% in European trade on track for the first profit in three days, after Russian government's statements about cutting output soon. 

Prices were also buoyed by improving risk appetite amid intense efforts from financial authorities to contain the banking crisis, while geopolitical tensions arise due to Moscow's plans to deploy nuclear weapons on Belarus. 

Prices Today

Brent rose 2.1% to $76.09 a barrel, after losing 1.4% on Friday, the second loss in a row amid concerns back then about the banking crisis. 

Brent rose 2.75% last week, the first weekly profit in three weeks away from 15-month lows at $70.17 a barrel.

Russian Production

Russian energy minister Alexander Novak said Moscow is approaching its target to cut output by 500 thousand bpd to 9.5 million bpd. 

Even as production slows down, it's expected that crude exports will remain flat as Russian refinery output slows down in April.

Russian refined products will be hit more by the recent ban by the EU, rather than crude exports, with tones of Russian diesel awaiting on ships for buyers. 

The Banking Crisis 

Most stock markets in Asia and Europe rebounded as risk sentiment improved markedly with concerns about the banking sector subsiding.

In the US, authorities continue to take measures to underpin the US banking sector and restore confidence.

US authorities believe the banking sector is strong and flexible despite ongoing pressure on some institutions.

Authorities also study an emergency lending program to banks to support struggling banks like First Republic.

Already, the First Citizens BankShares agreed to purchase Silicon Valley Bank in a deal valued at $16.5 billion that carries all of the bank's deposits and loans.

In Europe, ECB President Christine Lagarde told EU leaders the banking system remains strong.

Deutsche Bank rose over 7% on Monday after a 9% drop on Friday to five-month lows as costs for insuring the German bank's loans surged.

Geopolitical Tensions 

Russian President Vladimir Putin's plans to deploy nuclear weapons in Belarus raised geopolitical tensions. 

Western countries called for a Security Council meeting in response to the Russian plans with NATO calling the move "dangerous and irresponsible".