Ruble hits 17-month high vs dollar on oil cut deal

The ruble hit its highest level in 17 months against the dollar Monday as oil prices surged following a landmark deal by Russia and other non-OPEC producers to join the cartel in capping output.

In morning trading, the dollar traded at 61.05 rubles, a level not seen since October 2015, and the euro at 64.54 rubles, also a 17-month high.

Russia and 10 other states on Saturday said they will reduce their production by more than half a million barrels per day (bpd), the Organisation of the Petroleum Exporting Countries announced.

The move marks the first time non-Opec members have reached an agreement since 2001, and follows a similar deal by Opec last month. Opec members had agreed to collectively reduce output by 1.2 million bpd beginning in January.

The weekend deal pushed oil prices sharply higher Monday. At around 0920 GMT, US benchmark West Texas Intermediate for January was up $2.73 at $54.23 and Brent crude for February rose $2.72 to $57.05.