OPEC deal concerns:

While oil extending Wednesday’s ~9% rally, no shortage of skepticism surrounding OPEC’s deal to reduce production by 1.2M bpd to 32.5M bpd. Biggest area of concern not surprisingly revolves around compliance. Analysts noted that OPEC has a poor track record when it comes to compliance, with observed production cuts at 60-70% of announced cuts. Non-OPEC […]

Oil up big on OPEC comments:

Oil rallying sharply today on a flurry of upbeat comments heading into the OPEC meeting in Vienna, though devil remains in the details. Saudi Arabia Oil Minister Al-Falih said there is a good chance for a deal. However, there are still concerns about a more hawkish stance from Saudi Deputy Crown Prince Mohammed bin Salman, […]

OPEC skepticism:

Lot of skepticism surrounding OPEC’s ability to finalize a preliminary production cut deal it reached in late September at tomorrow’s meeting. No meaningful progress made at a 10-hour meeting on Monday. Iran and Iraq still said to be the stumbling blocks facing a deal. In terms of the former, Bloomberg reported that it proposed a […]

OPEC uncertainty:

Oil volatile with latest flurry of OPEC headlines. Follows a ~3% selloff on Friday on news Saudi Arabia pulled out of a meeting scheduled for today between OPEC and non-OPEC producers. Meeting was subsequently canceled as Saudis highlighted need for OPEC to first reach an internal agreement on a production cut deal. Biggest development over […]

Oil higher again:

Oil higher on optimism surrounding OPEC’s ability to finalize a preliminary production cut agreement reached back in late September. Nothing particularly incremental, though a member of the Nigerian delegation said that OPEC is likely to reach a consensus over the implementation of a deal at technical meeting today. There was also some positive commentary out […]

Oil rallies on deal optimism:

Oil snapped a four-week losing streak last week, rallying over 5% on some renewed optimism surrounding the prospects for OPEC to finalize a production cut deal. Sentiment has been further underpinned by weekend commentary. WSJ noted Iranian Oil Minister Zangeneh said that OPEC is “highly likely” to reach a final agreement at its 30-Nov meeting. […]

Low-quality OPEC deal expected:

OPEC under significant scrutiny with less than two weeks to go before a 30-Nov meeting intended to finalize a preliminary agreement reached in late-September to cut production to 32.5M-33.0M bpd. Note that OPEC produced 33.6M bpd in October. Headlines have been fairly volatile in recent days and while consensus still revolves around the likelihood that […]

Oil higher on supportive OPEC cut developments:

Oil rallying after selling off sharply over prior two weeks. Some better sentiment surrounding OPEC seems to be getting the bulk of the credit. Reuters noted OPEC Secretary General Barkindo said cartel committed to the preliminary agreement reached in Algiers in late September. Also said that Russia is “on board”, though did not provide any […]