The Organization of Petroleum Exporting Countries and allies including Russia, also known as OPEC+, announced on April 2 that it would cut its production by 1.66 million barrels per day by May 1.
Last month, OPEC predicted that global oil demand will grow by at most 2.32 million barrels per day this year. At the same time, the bloc of 13 suppliers with Saudi Arabia leading noted another surplus of oil in the market, which would support production cuts. In response to that prod
Oil prices have already climbed to $87 since the beginning of the month. Thursday Brent oil, the basis for European trading, quoted $86.80 per barrel of 159 liters.
OPEC also reported Thursday based on the latest counts that total production in January through March remained constant at around 28.8 million barrels of production per day.
Cramped
"These new data justify the earlier intervention by OPEC and partners," says Hans van Cleef, energy specialist at consultant Publieke Zaken. Some negative outliers in the economy are still to come, he argues. Other analysts see a chance of recession in the U.S., which would mean less demand for oil.
©Telegraph
