Oil prices rose on Friday, lifted by OPEC’s supply cuts and hopes the United States and China could soon settle their trade disputes.

U.S. West Texas Intermediate (WTI) futures were at $54.10 per barrel at 0133 GMT, up 31 cents, or 0.6 percent, from their last settlement.

International Brent crude oil futures were at $61.25 per barrel, up 41 cents, or 0.7 percent from their last close.

“Prices supported by data showing further falls in output,” ANZ Bank said in a research note.

The Organization of the Petroleum Exporting Countries pumped 30.98 million barrels per day (bpd) in January, a Reuters survey showed, down 890,000 bpd from December and the largest month-on-month drop since January 2017.

Oil futures also received support from a broader financial market rally, which saw Asian shares hit four-month highs on Friday on hopes the United States and China could strike a trade deal.

U.S. President Donald Trump said on Thursday he will meet with Chinese President Xi Jinping soon to try to seal a comprehensive trade deal as Trump and his top trade negotiator both cited substantial progress in two days of high-level talks.

In Venezuela, meanwhile, U.S. sanctions imposed on state oil firm PDVSA this week are keeping tankers stuck at ports and are expected to accelerate the supply drop in February. source: Reuters