Oil prices have been bolstered by the OPEC-led production cut causing a further reduction in global crude supplies.

The latest InterContinental Exchange data also revealed hedge funds placing bets on other oil sources such as the North Sea.

Benchmark Brent futures LCOc1 gained 50 cents to touch $56.58 a barrel while US light crude CLc1 also grew by 50 cents to trade at $53.90 per barrel, reported Reuters.

OPEC and other key producers are currently producing 1.8 million barrels per day (bpd) lower than the stipulated amount to revive the oil prices.

Most of the OPEC members are complying with the deal as production figures appear to fall.

OPEC secretary general Mohammad Barkindo also said the January data indicated conformity from participating OPEC countries regarding output cuts, which have been above 90%.

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"All countries involved remain resolute in the determination to achieve a higher level of conformity."

In a conference speech in London, Barkindo said: "All countries involved remain resolute in the determination to achieve a higher level of conformity."

The global oil inventory in various parts of the world, however, continues to be high.

The US oil and gasoline stocks also increased amidst declining refineries output and gasoline demand.

US Department of Energy is scheduled to publish the official stocks figures later this week.

Image: An offshore oil platform. Photo: courtesy of QR9iudjz0/ FreeImages.com.