Stock market quotes, forex, financial news, forex tools – money-investing.com

Oil grows due to the news about declining supplies from Saudi Arabia

 Breaking News
  • Trump and Xi Jinping came to an agreement! According to the reports from Xinhua, US President Trump and China’s President Xi Jinping have agreed on additional tariffs from the United States. During the G-20 summit in Argentina, the...
  • Qatar leaves OPEC on 1, January Next year Qatar will leave OPEC. The Minister of Energy of the Middle Eastern state said that the country was not going to fulfill any obligations when the clock chimed...
  • Brent rose by 5% to $ 62.5 On Monday, the price of the major benchmark crudes is growing due to the news from the main supplier countries. February contracts of Brent have risen by 5% to $...
  • Fiat invests in the national auto industry An automaker Fiat is going to invest 5 billion Euros in the improvement of the production in Italy. It is planned to absorb investments in the next four years. The...
  • General Motors will cut staff and close several plants An auto giant General Motors is going to cut about 15% of its employees and a quarter of the management team. These changes apply only to the United States. Thus,...
Oil grows due to the news about declining supplies from Saudi Arabia
November 12
09:00 2018

At the beginning of the week, the main oil benchmarks began to grow due to the reports of Saudi Arabia about its intention to reduce the supply of “black gold” in December by 500 thousand barrels per day.

Because of this, the January contracts of Brent have risen by 1.6%- to the value of $ 71.3 per barrel. December futures for WTI crude have grown by 1.1% to $ 60.8 per barrel.

After last week, WTI prices have gained a bearish trend, as the market has been experiencing a drop in prices for 10 consecutive sessions. This has not happened for almost 35 years, since 1984. Both benchmarks has been suffering losses for five weeks. Such a fall is a record for the last 4 years.

Meanwhile, Saudi Minister of Energy Khalid A Al-Falih shared his forecast, according to which December oil production of the OPEC+ would decline relative to November.

“We have contacted the countries excluded from the agreement and asked them to accept the reduction if it happened. It is not yet known whether the production should be reduced, – ”explains the Minister. He also noted that Saudi Arabia would not influence the market alone and would wait for the actions of other participants.

Russia also intends to support the reduction if the OPEC + comes to a general agreement, which can happen in case of a serious surplus in the market. At the moment, only the United States shows it.

 

            The material was prepared with the participation of Katya Gordon,
a leading analyst of the brokerage company CT Trade

Related Articles

0 Comments

No Comments Yet!

There are no comments at the moment, do you want to add one?

Write a comment

Write a Comment