NewsExpress advert FCMB banner Fidelity bank banner NewsExpress advert
Oil market holds breath as OPEC holds crucial meeting

By News Express on 30/11/2016

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 1,378

Oil markets edged up in nervous trading on Wednesday ahead of the OPEC cartel’s meeting later in the day to thrash out an output cut and curb oversupply that has caused prices to more than halve since 2014.

International Brent crude was trading at $46.80 a barrel at 3.11am GMT, up 42c or 0.91% from its last close.

US West Texas Intermediate (WTI) crude was up 23c or 0.51% at $45.46 a barrel.

Traders said markets were jittery and prices could swing sharply in either direction, depending on developments at the Organisation of the Petroleum Exporting Countries (OPEC) meeting in Vienna.

Oil dropped nearly 4% the previous session over disputes between Saudi Arabia, Iran and Iraq regarding details of the planned cut.

Despite the disagreements, most analysts still expect some form of deal to emerge.

“We expect OPEC will reach an agreement…. We believe OPEC’s resolve in reaching an agreement remains strong,” ANZ bank said on Wednesday.

Analysts at Goldman Sachs, Barclays and ANZ agree oil prices would quickly rise above $50 a barrel should OPEC come to an agreement.

Without a deal, the consensus is for prices to fall to the low $40s.

Iran and Iraq are resisting pressure from Saudi Arabia to curtail production, making it hard for the group to reach a deal.

On Tuesday, tension rose after Iran wrote to OPEC saying it wanted Saudi Arabia to cut production by 1-million barrels a day, much more than Riyadh is willing to offer, OPEC sources who saw the letter told Reuters.

Iranian Oil Minister Bijan Zanganeh told reporters upon arrival at OPEC’s headquarters in Vienna that his country was not prepared to reduce output: “We will leave the level of production (where) we decided in Algeria.”

OPEC, which accounts for a third of global oil production, made a preliminary agreement in Algiers in September to cap output at about 32.5-33 million barrels a day — versus the current 33.64-million barrels a day — to prop up prices.

OPEC said it would exempt Iran, Libya and Nigeria from cuts as their output had been crimped by unrest and sanctions.

A potential compromise would be for OPEC to return to some form of member state production quota, instead of ordering outright cuts.

Although that would do nothing to end a global production overhang in which more crude is pumped than can be consumed, it could help balance the market in the long term as rising demand would gradually bring consumption to output levels. (Reuters)

•Photo shows OPEC General Secretary Mohammed Barkindo.

Source News Express

Posted 30/11/2016 12:14:15 PM


Share on facebook Yahoo mail icon Gmail icon Share on Google+



REVEALED: 3 natural ways to get stronger erections, last 25minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...


You may also like...
Ex-Governor Nyako, son rearraigned for alleged money laundering...

MeCAM partners GAIN, SBN on Nutrition Symposium

Big men who dodge tax face serious consequences:...

NGO launches special education scheme for orphans, appeals...

Public schools dumping ground for less-privileged children: NANS...

Rotary Club, UCH offer free dental screening for...

MTN Nigeria fined N1.04 trillion

EEDC customers in Awka protest epileptic power supply,...

APC dares Wike, PDP over Amaechi’s planned arrest...

RIGHTSView: How fair is Nigeria’s electricity tariff? The...

Irate Guinness shareholders slam NAFDAC for N1bn fine...

Wike sacks Greater Port-Harcourt Authority board


Latest News Reps call for Buhari's impeachment over $496m aircraft scandal Police re-arrests Dino Melaye in hospital Naira appreciates against Dollar at parallel market CBN injects $210m into FOREX Market Former governor remanded in EFCC custody over N5.7 billion fraud Lagos records revenue increase in first quarter Sex-for-marks: What Monica Osagie told panel NIMASA inaugurates, deploys 120 marine marshals Chinese developers set to invest in Nigeria Okowa orders demolition of illegal structures within Asaba airport Drunk NDLEA officer kills civil servant with machete in Lagos IGP keeps mum on Melaye, commissions police estate


Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (339,858 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (334,866 views) Shameless Genevieve Nnaji exposes breasts in public (267,944 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (220,344 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (202,183 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (198,256 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (172,956 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (155,312 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (147,199 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (139,125 views) Lagos plane crash: Journalist releases victims’ names (136,987 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (129,656 views)


Categories Advertorials (3) African Press Organisation (81) Art & Literature (36) Business & Economy (3,074) Business Verdict (40) Columnists (836) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (484) Features (569) Global Business Monitor (264) International (1,927) Interview (149) Live Commentary (28) Love Matters (116) News (34,727) Opinion (916) Pidgin (10) Politics (4,811) Religion (724) Sports (1,485) Stock Watch (28) AMA & Al Jazeera Global Update


Firstmobile banner




Boko Haram commanders surrender


APO Group Partner




REVEALED: 3 natural ways to get stronger erections, last 25minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

GOCOP Accredited Member

GOCOP Accredited member



Africa Media Agency and Al Jazeera