Crude oil futures jumped over 1 per cent during afternoon trade in the domestic market on Monday as investors and speculators extended their positions in the energy commodity amid expectations that the Organization of the Petroleum Exporting Countries (OPEC) and other producers, including Russia, likely to extend production cut until March 2018. Traders are expecting that the output cut extension will be discussed in the meeting of OPEC and its allies in Vienna on Thursday.
According to the media reports, Saudi energy minister Khalid al-Falih will meet with his Iraqi counterpart on Monday to convince others to extend production cuts till March end next year ahead of an OPEC meet.
At the MCX, crude oil futures for June 2017 contract is trading at Rs 3314 per barrel, up by 1.13 per cent, after opening at Rs 3299, against a previous close of Rs 3277. It touched the intra-day high of Rs 3317 (at 13:56 hours).