Oil continues rally after Trump's remarks about Saudi-Russian pact

Oil prices rose in European trade on Friday, to continue gains for the second day, after President Donald Trump's comments about a possible output cut agreement between Saudi Arabia and Russia, and the announcement of an emergency meeting of the OPEC-Plus coalition.

The US crude rose 4.6% to $25.98a barrel, after opening at $24.83, and hit a day low of $24.83, and Brent rose 7.7% to $30.07, after it opened at $29.76, with a low of $28.28.

The US crude rose 16.7% yesterday, its second daily gain, to continue its recovery from the 18-year low of $19.29, and Brent rose 16.1%, its second daily gain in three days within recovery attempts from the lowest since March 2002 at $21.68.

This came after the US crude jumped earlier by 29%, and hit its 2-week high of $27.32 a barrel, and Brent surged 41%, and its 3-week high of $36.16 a barrel.

But soon those record gains were trimmed, amid some doubts about Saudi Arabia and Russia agreeing on a deeper cut, in addition to President denying any US involvement in this agreement.

President Donald Trump said yesterday that he had spoke to Saudi Crown Prince Muhammad bin Salman and discussed ways to balance the global energy market, adding that he expects Saudi Arabia and Russia to agree on cutting back about 10 to 15 million barrels per day, but he also excluded any participation of US shale oil producers in the agreement.

Saudi Arabia has called for an emergency meeting of the OPEC and non-OPEC producers led by Russia, known as OPEC-Plus, to discuss the oil market current condition, and stated it looks forward to a fair agreement that will balance the oil market.

The Kuwaiti Oil Minister Khalid al-Fadil expressed support to the Saudi call for an emergency OPEC-Plus meeting.

According to sources, the emergency meeting will be held at April 6, via a closed conference call.