Oil prices hit new highs as Opec postpones its output meeting
By Siphelele Dludla
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THE OIL PRICE surged to a three-year high yesterday, breaching the $77.50mark (R1 104) per barrel as another price war erupted among oil-producing countries.
The Organisation of the Petroleum Exporting Countries (Opec) meeting to get a unanimous deal on output increase for 2021 and 2022 was postponed indefinitely once again on Monday.
The United Arab Emirates (UAE) blocked a deal to ramp up output by two of the world s largest oil producers, Saudi Arabia and Russia.
The deal would see an output increase of 2 million barrels per day in the second half of the year, but the UAE said the extension was conditional on revising its baseline productions.
What s driving the oil price volatility, and where could it go next?
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