This is by the same amount as it did in each of the prior two months, which came as a relief to those who expected a bigger increase.

Brent crude futures climbed $1.46, or 2.33%, to $64.24 a barrel by 0626 GMT after settling 0.9% lower on Friday.

United States (US) West Texas Intermediate crude was at $62.45 a barrel, up $1.66, or 2.73%, following a 0.3% decline in the previous session.

Both contracts were down more than 1% last week.

The OPEC and their allies decided on Saturday to raise output by 411 000 barrels (bpd) per day in July, the third month the group known as OPEC+ increased by the same amount, as it looks to wrestle back market share and punish over-producers.

The group had been expected to discuss a bigger production hike.

"Had they gone through with a surprise larger amount, then Monday’s price open would have been pretty ugly indeed," analyst Harry Tchilinguirian of Onyx Capital Group wrote on LinkedIn.

Oil traders said the 411 000 bpd output hike had already been priced into Brent and WTI futures.

"The headline motive has centred on punishing OPEC+ members like Iraq and Kazakhstan that have persistently produced above their pledged quotas," said the Commonwealth Bank of Australia in a note on Monday.

Kazakhstan has informed OPEC that it does not intend to reduce its oil production, according to a Thursday report by Russia's Interfax news agency citing Kazakhstan's deputy energy minister.

Looking ahead, Goldman Sachs analysts anticipate OPEC+ will implement a final 410 000 bpd production increase in August.

"Relatively tight spot oil fundamentals, beats in hard global activity data, and seasonal summer support to oil demand suggest that the expected demand slowdown is unlikely to be sharp enough to stop raising production when deciding on August production levels on July 6th," the bank said in a note dated Sunday.

Meanwhile, low levels of US fuel inventories have stoked supply jitters ahead of expectations for an above-average hurricane season, analysts said.

--Reuters--