Oil increases on Monday morning amid Russian plans to slash output.

A barrel of European reference crude Brent trades at USD 82.90 on Monday morning against USD 81.99 on Friday afternoon. US West Texas Intermediate crude futures go for USD 76.09, up from USD 75.11.

According to Reuters, Russia plans to cut oil exports from its western ports by up to 25% from February to March, and the diminished output makes prices go up.

However, price hikes are slightly outweighed by a strong dollar and fears of recession, effectively curtailing prices.

News of strong US economic data could prompt the Federal Reserve to raise interest rates which would further strengthen the dollar.

A firm dollar makes commodities priced in the US more expensive for holders of other currencies.

”If risk-aversion continues to grow, crude will likely come under renewed pressure,” says founder of oil market analysis provider Vanda Insights Vandana Hari to Reuters.

Elsewhere, the market is bracing for China’s economic policies and policy targets this week for a clear direction on oil demand.