Oil producing countries should cut output by one million barrels per day to re-balance the market, Saudi Arabia's energy minister said Monday, following a drop in crude prices.
Saudi Energy Minister Khalid al-Falih listens to questions during a meeting of the Joint Ministerial Monitoring Committee in the Emirati capital Abu Dhabi.
The worry: The Organization of the Petroleum Exporting Countries (Opec), which includes Saudi Arabia and Iraq and Iran, and other non-Opec oil producers such as Russian Federation met in Abu Dhabi on Sunday to discuss oil cuts. "I think those reports are going to be even weaker because they will have to adjust for the increase in USA production", Jakob said.
The fall in price was attributed to the lower impact of US sanctions on Iran due to the exceptions it gave to India, China and other nations, as well the increased oil production by the US, Saudi Arabia and Russian Federation. West Texas Intermediate, the USA marker, climbed 0.9 percent to $60.75, paring its losses after falling into a bear market last week.
Crude prices hit four-year highs of more than $80 a barrel in late September and early October over fears of the impact of United States sanctions on Iranian oil exports, sparking warnings of prices hitting $100.
"Saudi Arabia has stepped in front of the oil market bears, proactively announcing they will reduce exports", said Stephen Innes, head of trading for Asia/Pacific at futures brokerage in Oanda in Singapore.
"The recent drop in oil prices reflects a combination of factors".
"With the Iranian sanctions not being as severe as initially feared, officials from the OPEC and non-OPEC producers may discuss at the weekend the need to bring compliance back down towards the 100-percent level or risk another 2014-style slide in prices", he said.
The Saudi minister acknowledged that so far there was no fresh agreement on reducing production among OPEC and non-OPEC producers, who struck a deal in late 2016 to cut output by 1.8 million bpd to remedy an oversupply crisis.
The oil producers could agree (though Russian Federation doesn't want to) to reduce the output to somewhere between the May and October figure (say a cut of up to 1 million) - cutting all the way to May level may attract the wrath of Donald Trump.
Falih said the USA sanctions had removed less oil from the market than expected because of the waivers.
When asked about the possibility of an output cut, he insisted it was "premature to talk about a specific action". "Oil markets are significantly oversold in our view, and we remain convinced that both Brent and [US benchmark] WTI will rebound from their current bearish market mode", said analysts at MUFG bank.
He said the market sentiment has shifted from one of fearing shortages to one anxious about oversupply.
Through large production cuts starting at the beginning of 2017, they managed to push up oil prices from below United States dollars 30 a barrel to over USD 85 a barrel in October, strongly improving their revenues.
But producers eased output cuts in June after signs of a tighter market and higher prices, selling hundreds of thousands of extra barrels.
Commerzbank, Germany's second-largest lender, said Friday that oil producers must act to prevent prices tumbling.
White House officials said the decision was taken due to the weather and cited security concerns in hastily arranging a motorcade. On another matter, Trump praised a 13-year-old US boy who traveled to Paris to attend the ceremony.
You stole my ❤️ the first second I met you! "You are such a strong woman but yet still so very caring", he wrote. Upton in July announced the pregnancy, also on Instagram, in a post with the hashtag "pregnant in Miami".
They're hoping to conduct further studies, though, and she says it couldn't hurt to limit time on those apps anyway. Hunt also hesitates to say that these findings would replicate for other age groups or in different settings.
Samsung has been launching its flagship clam-shell phones for a while now, even though these are exclusively available in China. The South Korean major is yet to confirm the price of the smartphone, but we do know that it will be exclusive to China Unicom.
They said that an assessment had indicated that he posed no threat to national security despite holding radical views. The knifeman parked his ute in Bourke Street just after 4pm on Friday and stabbed three people.
It's unclear what context the comments were made under, although she appeared to be praising the rancher, Colin Hutchinson. The national NAACP president Derrick Johnson, who is from MS , said Hyde-Smith's comment shows a lack of judgment.
Canada's Remembrance Day ceremonies today will mark 100 years since the signing of the armistice that ended the First World War. Prime Minister Theresa May and other leading national figures also placed wreaths at the memorial in central London.
The rapper previously teased this single of the heated USA midterm day with a video that very much just targeted Trump. He teased the new track before the heated U.S. midterms and asked people to get out and vote.
2 killed in Southern California fire that's doubled in size
Trump said "billions of dollars are given each year, with so many lives lost, all because of gross mismanagement of the forests". Massive evacuations: Fire officials estimate the number of people forced from their homes statewide is more than 250,000.
Israelis 'kill Hamas commander' in Gaza exchange of fire
A Hamas official said violence erupted when a group of its members were fired upon by a passing auto belonging to Israel forces. Netanyahu said the Israeli security establishment supported the move and that ministers in his security cabinet approved it.
Liverpool FC owner’s wife reacts to 2-0 win over Fulham
Salah and Firmino twice exchanged give-and-goes to cut Fulham apart but Sergio Rico was swiftly off his line to deny the Egyptian. By the way, maybe because of Robbo he is not 100 per cent offside, with his heel or whatever, and before that somebody holds him.
Veterans Day deals and discounts
SweetFrog Frozen Yogurt: Veterans and active duty personnel with a valid military ID get a free 12-ounce frozen yogurt on Sunday. Many local restaurants and business are offering freebies and discounts to active, retired and reserved military members.
State funeral offer for family of Bourke Street victim
Staff at the cafe are said to be devastated and "walking around in circles" as they try and come to terms with the bad loss. The driver, now known as Hassan Khalif Shire Ali , exited the vehicle and stabbed Mr Malaspina to death.
Malibu Under Evacuation Orders as Massive Fire Rages
A spokesman for the hospital operator, Dignity Health, reportedly told Action News Now that Feather River was later destroyed. In response, California Highway Patrol shut down a four-mile stretch of the 101 Freeway from Las Virgenes Road to Kanan Road.
Rockets to Release Carmelo Anthony Soon
It's starting to look like Anthony's days in Houston are numbered. "I understand it he's obviously a Hall of Famer". But now, it sounds like Anthony will be searching for a new team very shortly, per The New York Times' Marc Stein.