Oil prices rise due to anticipated OPEC supply cuts

Despite dismal economic signals from central bankers and a decrease in equities prices, oil prices increased in early Asian trade on Wednesday on Saudi Arabia's proposal that the Organization of the Petroleum Exporting Countries (OPEC) may consider a production cut.

U.S. crude prices rose 34 cents to $95.23 per barrel at 00:16 GMT, while Brent crude futures rose 51 cents to $101.73 per barrel.

Wednesday marked a three-week high for both benchmark crude oil contracts after the Saudi energy minister hinted at a possible supply cut.

Later, OPEC sources told Reuters that any cut by OPEC and its allies, known collectively as OPEC+, is expected to coincide with the return of Iranian oil to the market if Tehran obtains an international nuclear deal.

Iran reported receiving a response from the United States over the European Union's "final" language for resurrecting Tehran's 2015 nuclear agreement with major powers.

Ahead of Friday's U.S. Federal Reserve meeting, traders are seeking to predict whether the central bank will stop rate hikes or continue aggressive until it reaches its 2% inflation target.

Official numbers released on Wednesday suggested a sluggish demand for gasoline, which augurs a severe decline in economic activity.