Tuesday saw an increase in oil prices as traders considered production reductions for August by major producers Saudi Arabia and Russia against the backdrop of a hazy prognosis for the world economy.

Brent crude jumped 0.46% at $74.99 per barrel, meanwhile US WTI were at 0.47% at $70.12 per barrel.

According to the country's official news agency, Saudi Arabia said on Monday that it would extend its voluntary production cut of 1 million barrels per day (bpd) through August. According to Deputy Prime Minister Alexander Novak, Russia will also decrease its oil shipments by 500,000 bpd in August.

As Riyadh and Moscow attempt to support prices, the cuts, which account for 1.5% of the world supply, raise the total amount agreed by OPEC+ oil producers to 5.16 million bpd. Members of the Organization of the Petroleum Exporting Countries (OPEC) and their allies make up OPEC+.

For the third consecutive week, U.S. crude stocks were predicted to decrease by around 1.8 million barrels in the week ending June 30. Due to the U.S. vacation, government data on inventories will be released on Thursday and industry data on Wednesday.