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OPEC latest: Saudi's don't know if they're optimistic, Iraq agrees a cut

More fun and games

The latest headlines running off the printer.

Iraq

  • Iraq agrees to cut production - Iraq energy minister
  • Iraq says OPEC agreement is for 6 months

Saudi

  • Saudi says deal needs a proper mechanism
  • We're getting close to a deal
  • Receptive to proposed OPEC cuts
  • 32.5mbpd ceiling is still the main focus of discussion
  • If no agreement, market will recover slowly
  • If there is an agreement we will reach out to non-OPEC
  • Russia freezing at an all time high is not a contribution
  • Hopes for non-OPEC to cut by 600kbpd
  • For Iran, a pre-sanction freeze is acceptable

Those bolded comments are interesting as it places some significance on what happens after the deal. If OPEC cut & freeze but non-OPEC doesn't, or not to an agreeable level, this deal will probably unravel fairly swiftly down the line.

Right no though, oil traders don't care what happens down the line, they're more bothered about this event and Brent has just broken 50.00

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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