OPEC Considering Extending Crude Production Cuts if US-China Trade Deal Delays?
•
Last updated: Monday, November 11, 2019
Oman’s energy minister Mohammed bin Hamad -Rumhy expressed hope that OPEC and it’s allies could consider extending curbs in crude production to offset declining demand for oil in global markets. Rumhy made these comments while addressing the media on the sidelines of an energy conference at Abu Dhabi.
Rumhy stated that improvement in US-China trade tensions could convince OPEC+ to layoff any decision to implement deeper cuts in crude oil production. However, if no concrete developments towards a trade deal are confirmed in the next couple of weeks, leading oil producing nations could extend the 1.2 million bpd cuts till beyond March 2020 to counter prolonged weakness in demand for oil.
In January 2019, OPEC+ had announced the cut in oil output as a slowdown in global economic growth brought down the demand for oil in markets worldwide. OPEC and its allies are scheduled to meet in early December and the continued weakness in demand and bearish trends in prices are likely to dominate their agenda.
According to Rumhy, “All indications show things are getting better, the fear of recession, the signs of agreement between the U.S. and China is positive.”
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
- Read our latest reviews on: Avatrade, Exness, HFM and XM
ABOUT THE AUTHOR
See More
Arslan Butt
Lead Markets Analyst – Multi-Asset (FX, Commodities, Crypto)
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.
His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.
His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
Save