OPEC+ compliance with oil production cuts rose to about 122% in December, two sources from the producer group told Reuters, indicating that some members continue to struggle to raise their output – compared to 117% in November. The International Energy Agency said this week that the group missed its production targets by 790,000 barrels per day (bpd) in December – mainly due to Western African members failing to raise output. Compliance from members of OPEC was at 127% in December, while non-OPEC producers in the alliance achieved a compliance of 114% (Reuters). 

Brent crude rose $3.20, or 4.6%, to settle at $73.08 a barrel. U.S. West Texas Intermediate crude rose $3.23, or 4.9%, to settle at $69.49 a barrel. Iraq’s Oil Minister expects oil prices to reach over $75 and added that OPEC is trying to “positively contain” the energy market. Parallely, Saudi Arabia raised official selling prices for all crude grades sold to Asia and the United States. This follows the latest vote of the OPEC+ group in favor of continuing increasing monthly supply by 400,000 barrels per day (bpd) in January. Oil was also buoyed by diminishing prospects of a rise in Iranian oil exports after indirect U.S.-Iranian talks on saving the 2015 Iran nuclear deal broke off last week. 

Representative Bryan Steil (R-WI-01) briefed the House on Iran’s threat to American safety.