OPEC, Russia agree to cut oil output

The Organization of Petroleum Exporting Countries (OPEC) on Friday teamed up with Russia to cut oil production in a bid to boost prices.

The group and Russia tentatively agreed at a meeting in Vienna to slash 1.2 million barrels per day of production, with 800,000 coming from OPEC and 400,000 from Russia and its allies, Reuters reported.

{mosads}Oil trading prices surged as much as 5 percent to $63.32 per barrel after the news. Negotiators went back into a meeting later Friday to hash out details of the deal.

The cut came despite repeated pleas from President Trump over recent months for OPEC and Russia to keep production high and prices low.

“Hopefully OPEC will be keeping oil flows as is, not restricted. The World does not want to see, or need, higher oil prices!” Trump tweeted Wednesday, ahead of the Vienna meeting.

OPEC and Russia, taken together, represent more than half of the world’s oil production.

The final deal is a surprise, given that many countries had lost confidence by Thursday that any binding, significant output cut agreement could come about.

“I’m confident that our resolve, that our professionalism and our willingness to achieve results is as strong as ever,” Russian Energy Minister Alexander Novak said of the coalition, according to Reuters. “In current conditions it’s extremely important to send a strong signal to the market.”