Investing.com - Oil soared Monday after non-OPEC producers agree to cut out for the first time since 2001.
Brent crude added $2.22, or 4.09% to $56.77 at 08:00 ET after a high of $57.52. U.S. crude rose 4.31% to $53.72.
In a meeting with OPEC members over the weekend, non-OPEC producers agreed to cut out by 558,000 barrels a day.
That fell short of the 600,00 barrels a day that had been proposed, of which Russia agreed to shoulder 300,000 barrels.
That comes on top of an accord last month by OPEC to reduce production by 1.2 million barrels a day to 32.5 million.
Saudi Arabia said over the weekend it was willing to cut output by more than agreed to below 10 million barrels a day.
With global demand forecast to increase by at 1.2 million barrels a day next year that should go someway toward reducing a global glut.
But the focus is now on the extent of compliance with the agreed cuts.
There are concerns that the reductions in output could spur increased activity by North American shale producers.
Baker Hughes rig count data showed a spike in the number of oil rigs operating in the U.S. of 21 to 498, the highest level since January.
The dollar index was lower but remained above 101. A weaker dollar underpins demand for oil.