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Showing posts from March, 2024

Crude Oil Prices may rise even higher, to 6735–6810

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   ⁃ On Monday, oil prices slightly increased as members of OPEC+ decided to prolong their voluntary oil output reductions to the end of the second quarter, and Russia committed to reducing exports and production.  ⁃ With concerns about the state of the world economy and increased output from outside the organization, OPEC+ has decided to prolong its voluntary oil output cutbacks of 2.2 MBP D into the second quarter. This move is expected to provide market stability.  ⁃ Russia, in cooperation with a few OPEC+ members, will reduce its oil production and exports by an additional 471,000 barrels per day during the second quarter.  ⁃ In contrast to an earlier prediction that output might increase over 36 million bpd in May as producers unwind supply restrictions, the OPEC+ cuts would result in a lower production from the group in the second quarter, at 34.6 million bpd.