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Oil rises, set for second weekly gain on production cut hopes

Published 29/01/2016, 12:47
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Investing.com - Global benchmark Brent crude futures rose on Friday, moving nearly 8% higher so far this week and set for a second weekly gain, spurred by hopes of a deal among oil-producing countries to tackle a growing supply glut.

Brent rose 1.45% to $35.31 a barrel by 09.23 GMT, after ending up 2.4% at $33.89 on Thursday, and is heading for its fourth straight session of gains.

U.S. crude climbed 0.92% to $33.53 a barrel, having settled up 2.9% at $33.22 on Thursday. U.S. crude is also set for a 5% weekly gain.

Oil prices rallied after Russia said on Thursday that OPEC's largest producer Saudi Arabia had proposed oil production cuts of up to 5% in what would be the first global deal in over a decade to help clear a glut of crude and prop up sinking prices.

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