OPEC +

- Oil Reaches $ 61 As OPEC + Exceeds Supply Boundaries

  OPEC + - Oil Reaches $ 61 As OPEC + Exceeds Supply Boundaries Oil recovered ahead of yesterday's OPEC + meeting. The alliance is expected to maintain its cautious stance on adding supplies due to short-term concerns about demand. Delegates said that ahead of the closely watched ministerial meeting, an OPEC + panel lowered demand forecasts for the year. Still, the group expects the surplus created during the pandemic to fade to a great extent in the next quarter. Economic data and forecasts show a good recovery in oil demand. In Asia, China's official production indicator rose in March, exceeding estimates. The demand imbalance in some parts of the world was expected to recover when enough people were vaccinated. However, the continued negative situation brought by Covid-19 has led to the retreat in oil demand in recent weeks. In the US, IHS Markit's OPIS data show that gasoline sales are 16 % below pre-epidemic levels. The Organization of Petroleum Exporting Countries and its allies will debate whether they can revive some of the 8 million barrels of production they have halted daily. The main advocate of the cautious OPEC + approach was Saudi Arabia, one of the group's two main leaders along with Russia.

Oil recovered ahead of yesterday's OPEC + meeting.

Energy Minister Prince Abdulaziz bin Salman said that following the decline in consumption due to the epidemic, higher prices will not trigger a concerted increase in the supply of US shale producers. According to surveys by oil giant Saudi Aramco, the Arab Ligth is expected to increase its selling price by 30 cents per barrel in May. The possible upward adjustment is taking place despite the ongoing flow of Iranian crude oil into China and the harsh conditions of many Asian refineries. Among those expecting OPEC + to retain the production line for now are the Australian and New Zealand Banking Group. In the statement made by the bank, it was stated that the alliance will transfer most of the April quota, while Saudi Arabia will make a unilateral cut. In the statement in question, the bank said, "We expect them to remain relatively cautious." used the expressions. Although there is a bullish pattern, it was down 16 cents compared to the previous week and 67 cents from the beginning of the month. OPEC + - Oil Reaches $ 61 As OPEC + Exceeds Supply Boundaries  

Source: Yahoo.Finance

 

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