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Crude prices rose for a 6th day in a row Thu, the latest advance coming after Russian Deputy Minister and de-facto oil minister Alexander Novak said Russia and OPEC+ will announce further "actions" next week.

While there were no specifics, few were in doubt on what the messaging was about: To tell traders - particularly the bears who had driven prices down the prior 2 weeks - that another round of production cuts could be coming in Sep/Oct and not to try shorting the market.

Novak's comments came after Reuters, estimated that output within the narrower OPEC, had climbed by 220,000 bpd - thanks to a jump in Iranian output.

Iran is a founding member of OPEC that is essentially treated as an outcast within the cartel due to sanctions on its oil exports. Once a major burden to its economy, the sanctions mean little these days to Tehran, thanks to the little enforcement by the Biden administration. Iran's crude production and exports have both been growing steadily the past 2 years to the consternation of the Saudis and Russians, who jointly steer OPEC+.

Brent settled up 1.2% at USD86.86. Brent rose 2.8% on the week.

WTI crude settled up 2.5% at USD83.63. Week-to-date, it is up 4.8%.

"It's not entirely clear what Novak is referring to here but he said that Russia agreed with OPEC+ of further actions," Adam Button, a commentator on oil, said on the ForexLive forum after the latest jump in crude prices. "He might be referring to an extension of Russian cuts or a larger OPEC deal."

For context, the Saudis, producing oil for years at below capacity to choke the market into paying higher prices, announced an additional million bpd cut from July which they seem determined now to carry through into Oct at least. The Russians, who just a few months ago seemed happy to sell their oil at whatever price they could get for a barrel to sustain their Ukraine-war- damaged economy, have joined the Saudis now in trying to squeeze the market.

Until Thu, the restart of the oil rally had been relatively slow, with crude prices gaining modestly on most days, sometimes after volatile trading on demand concerns. The latest session was the first time where it had advanced 2% in a day over the past fortnight, as the Russian threat of production cuts came on top of a sizable 3rd-week-in-a-row tumble in U.S. crude stockpiles.