Oil rises nearly 1.5% as supply glut concerns ease

Oil drilling rigs

Oil prices rose at the close of trading today, Oct. 6, after the production increase announced for November by the OPEC+ was lower than expected, alleviating some concerns about a supply glut.

Brent crude futures for December delivery jumped 1.46%, or 94 cents, to $65.47 a barrel.

WTI crude futures for November delivery rose 1.33%, or 81 cents, to $61.69 a barrel.

This came after the OPEC+ alliance decided last week to increase production in November by 137,000 barrels per day—the same level as October—despite speculations of a 500,000-barrel hike.

This modest increase coincided with a rise in Venezuelan exports, the resumption of Kurdish oil flows via Turkey, and the availability of unsold Middle Eastern crude for loading in November, analyst Tamas Varga of PVM Oil Associates told Reuters.

Prices received additional support from reports that the largest refining unit at Russia's Kirishi refinery was out of service following a drone attack on Oct. 4. Repairs are expected to take about a month.