Oil prices up after OPEC+ cut

Oil prices are at a three-week high following the decision by Saudi Arabia, Russia and other major oil producers to cut production. 

The price of Brent crude oil topped $94 a barrel today, the highest price since Sept. 14, according to market data.

Why it matters: The price increase follows the Organization of the Petroleum Exporting Countries agreeing with Russia and other allies — the so-called OPEC+ alliance — to reduce output by two million barrels per day starting in November.

Saudi Arabia, the largest oil producer in OPEC, has been lobbying for the production cut over price fluctuations this year. 

The United States has been pushing its Saudi ally to boost production in response to the high fuel prices following the Russian invasion of Ukraine. OPEC+ did increase production slightly, but then decreased it for October.

Biden administration officials called the OPEC+ supply cut "shortsighted" and accused the alliance of "aligning with Russia" in response to Wednesday's decision. 

The price basket of OPEC members' oil is also on the way up, going from $92.13 a barrel on Tuesday to $94.05 Wednesday, according to OPEC data. 

Know more: Qatar’s energy exports were up 100% on the year in August. 

What's next: Some analysts predict that Brent crude prices will rise up to above $100 a barrel again following the OPEC+ decision, according to Bloomberg.