Russia to reduce oil supply in August by 500K barrels per day

Russia will reduce its oil exports by 500 thousand barrels per day (bpd) in August as a global economic slowdown hangs over the outlook for energy demand, Russian Deputy Prime Minister Alexander Novak said on Monday.

The announcement sent prices for Brent crude, the global oil benchmark, up 0.7 percent to trade at $76 a barrel at 7.15 a.m. ET. WTI, the U.S. benchmark, rose 0.8 percent to $71.

However, the top exporter, Saudi Arabia, extended its supply cut through August, overshadowing concerns about a global economic slowdown and possible further interest rate hikes from the U.S. Federal Reserve.