After opening in the red this morning, crude oil (WTI) is soaring by 8.05% to $48.86 per barrel this afternoon, and Brent crude up by 7.51% to $53.81 per barrel, according to the CNBC.com index.
Oil prices are higher following a renewed openness by the Organization of the Petroleum Exporting Countries to discussing oil's fall in prices with other producers, Reuters reports.
OPEC had been maintaining high production to hold onto its market share despite sinking prices, according to Reuters.
Also helping oil prices today is a report by the Energy Information Administration that said U.S. oil production was lower than previously estimated for the first five months this year by between 40,000 and 130,000 barrels per day per month.
Insight from TheStreet Research Team
California Resources is a part of Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Here is what Jim Cramer, Portfolio Manager & Jack Mohr, Director of Research - Action Alerts PLUS had to say about the stock in a recent alert:
The EIA's report showed the country pumped 9.3 million bpd in June, down 100,000 from a revised May figure. It said previously reported monthly data for January through May were revised down by between 40,000 and 130,000.
We also learned this morning that OPEC has renewed its openness for dialogue with other producers.
We view these two data points positively and would become even more bullish if OPEC finally cooperated and put its words into action.
-Cramer and Mohr 'We're Cautiously Optimistic on Slowing U.S. Oil Production' Originally Published on 8/31/2015 on Action Alerts PLUS.
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