Page 32 - Pec News Today

Major oil-producing countries led by Saudi Arabia recently said they'd be cutting supplies of crude, and the Capital Region is already feeling the pain at the pump.

Todays top business headlines

OPEC+ has further tightened oil markets with their decision to cut production, making the market more vulnerable to unexpected supply outages

Commodity experts at Standard Chartered expect that OPEC+ cuts will go a large way in eliminating the current surplus

OPEC+’s cut of 2 mbpd from November 2022 means oil output will fall by approximately 1.45 percent from May 2023 after the latest output cut comes in force. This insignificant quantum is unlikely to trigger a big raging bull market, forget about a supercycle

The surprise production cut by OPEC+ has boosted Middle Eastern oil prices, narrowing the gap between Dubai swaps and Brent.

Oil prices may rise up to 10 dollars per barrel

OPEC and its allies, including Russia, agreed to widen oil production cuts to 3.66 million bdp or 3.7% of global demand

OPECs cut in production has undermined US-led attempts to cap the export price of Russian oil. Mohammed Alhamed and professor Mark Frost said the US should back off and let market forces rule.

Venezuela has supported the OPEC+ members’ decision to reduce oil production by additional 1.66 million barrels per day to maintain the stability of the global energy market, Venezuelan Petroleum Minister Rafael Tellechea said.