We seen oil bounce 14% this week after the US stockpile declined for the first time this years by a 138,000 to 350.6 million barrels last week. This is the first evidence that the OPEC cuts are starting to take effect.
Now the big question is will OPEC cut again in March?
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Hey Cigs,
ReplyDeleteDon't think its a question of will they cut...more a question of HOW much will they cut it by.
Cdchi1
The middle east can't afford to stop their nations developing, they will do what ever is required to restore the oil price and I hope they do because we as investors in oil will benefit.
ReplyDeleteRegards
Kojasper
The thing here to watch is that 2 OPEC countries (Angola and Algeria by memory)have come out and said they can not sustain required GDP for national security if they keep dropping production levels. OPEC countries like Saudi Arabia and the UAE are going to have to go the cuts alone. Saudi Arabia and the UAE have already cut their supply by an extra 5 to 10% to attain target output for OPEC.
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