Crude oil pops on report that Saudi Arabia and Russia have agreed to freeze production

Crude oil prices jumped on Tuesday after a report from Interfax that Saudi Arabia and Russia reached an agreement on an oil-production freeze.

West Texas Intermediate crude futures in New York surged as much as 2% to as high as $41.35 per barrel.

The Interfax report cited an anonymous source, and said Saudi Arabia and Russia made the decision whether Iran was in or not, according to Bloomberg.

Iran had said it would not join a production-cut agreement, as it tries to boost production for export now that economic sanctions have been removed.

A meeting between OPEC and non-OPEC producers will hold in Doha on Sunday, and an agreement could be reached then.

Here’s a chart showing the spike in crude oil on Tuesday:

NOW WATCH: Here’s why airlines ask you to raise the window shades for takeoffs and landings

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.