Apparently there are disagreements between the oil-exporting countries and their allies over future crude oil production levels. An OPEC+ meeting scheduled for this weekend was postponed on Wednesday until November 30. Oil prices reacted to the news with significant discounts.
Both the North Sea variety Brent and the American brand West Texas Intermediate (WTI) fell noticeably. In an initial reaction, prices for a barrel (159 liters) fell by more than three dollars each to $79.35 (Brent) and $74.66 (WTI).
Saudi Arabia dissatisfied
As Bloomberg reported, major producer Saudi Arabia is dissatisfied with the production of other producing countries. Saudi Arabia has voluntarily cut production in recent months to support oil prices. Russia, which runs the larger OPEC+ network with the Saudis, is taking a similar approach. The talks between the OPEC countries were difficult, the agency reported.
Observers expect further cuts
Some observers expect the decline in oil supplies to increase or even worsen next year. OPEC+ produces about 40 percent of global supply. Your decisions can have a direct impact on the oil price.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
