Saudi to cut oil exports by 500,000 barrels per day in December

14 November, 2018, 03:09 | Author: Regina Silva
  • Crude oil short-sellers make a comeback as OPEC moves to center stage

Oil prices have staged a recovery, climbing above $70 a barrel after Saudi Arabia said the world's major crude producers agreed that supply needs to be significantly cut next year.

The fresh plunge comes as representatives from Opec and non-cartel members prepare to meet Sunday in Abu Dhabi to discuss a possible output cut to protect their revenues amid slumping prices. "We are not in the business of pinpointing a price going forward".

Global oil prices tumbled into a bear market last week, down more than 20% from their recent peak.

Crude prices jumped by as much as 2% on the prospects of reduced supply from OPEC.

Global oil supply has increased by 3.3% in 2018, while non-OPEC supply is growing faster and USA oil production is up in the double digits.

Producers implemented large cuts starting at the beginning of 2017 and managed to push up oil prices from below $30 a barrel to over $85 in October, strongly improving their revenues.

The group's caution arises partly from the unpredictability of Iranian supply. We also have 82 per cent of our exports made up of manufactured goods, so how can you say we're dependent upon oil revenue? Sanctions did not pull [oil] out of the market as many had anticipated.

"Sky-high production in the USA, coupled with incremental barrels coming from Saudi Arabia and Russian Federation is starting to impact oil market balances".

Pakistan share ODI series with New Zealand
The victor of the match would clinch the three-match series which is tied at 1-1 after the first two games. He faced 100 balls for his 92 but that included just four fours and one six.


Flipkart Group CEO Binny Bansal resigns after probe into misconduct charges
Bansal has strongly denied the allegation, according to a separate statement by Flipkart and its main shareholder Walmart. But Walmart expressed confidence in the leadership structure and says the transition was in the works for some time .


CNN sues White House over revoked credentials of correspondent
Trump interrupted her, calling it a racist question. "I will continue to ask the questions that affect America, all of America". Sure enough, the White House's clip appears sped up during the actual exchange between Acosta and the White House intern.


The committee that oversees the 2016 OPEC+ agreement to manage supply met Sunday in Abu Dhabi.

"This (price fall) is great news for the externally challenged economies of Asia like Indonesia and Philippines, India too, and helps also where inflation has been a concern", Robert Carnell, chief economist and Head of Research at ING Asia, told the Reuters Global Markets Forum on Monday.

Mr Yergin said: "It's the big three, it's Saudi Arabia, Russia and the United States, this is a different configuration in the oil market than the traditional OPEC-non-OPEC one and so the world is having to adjust". Saudi Arabia is the de facto leader of the group.

West Texas Intermediate, the USA marker, climbed 0.9 percent to $60.75, paring its losses after falling into a bear market last week.

Dudley said the waivers had been unexpected, so the market had been readjusting.

As it cuts December shipments, the world's biggest crude exporter may struggle to convince others to follow.

Al-Falih said that demand for Saudi crude was weaker for the first time since the kingdom started boosting production in the May-June period. If Riyadh reduces daily exports by 500,000 barrels next month, it would effectively wipe out most of the production increases of the last six months. And even if the small Saudi cut doesn't immediately improve oil pricing, it may signal OPEC's intention to cut further in December.

Khalid al-Falih's comments follow a meeting in Abu Dhabi at the weekend, where the Organisation of Petroleum Exporting Countries (OPEC) and its allies started laying the groundwork to cut supply in 2019, reversing an nearly year-long expansion.

Recommended:

  • Here's Why Serena William's GQ Woman of the Year Cover is Controversial

    Here's Why Serena William's GQ Woman of the Year Cover is Controversial

    Open, shown in the tweet above, in an nearly immediately iconic black leotard and tutu with the words "Serena" and "logo". On hers, the word men is crossed out and replaced by the word "woman" - in a different font and in quotation marks.
    Lacazette pulls out of France squad just hours after inclusion

    Lacazette pulls out of France squad just hours after inclusion

    Pogba was absent from the United squad which was beaten 3-1 at Manchester City on Sunday, with Martial completing the full game. In his place, Borussia Moenchengladbach striker Alassane Plea has been added to the squad.
    Manchester United have fallen behind Manchester City Nicky Butt

    Manchester United have fallen behind Manchester City Nicky Butt

    And yet Mourinho is under intense scrutiny with United now sitting eighth, four points behind fourth placed Arsenal and 12 points behind leaders Manchester City .
  • Pippa Middleton has officially named her first child

    Pippa Middleton has officially named her first child

    On October 16, Middleton gave birth to a son just three hours after arriving at hospital . "James and Pippa have had a baby boy ". Just days earlier, Middleton attended Princess Eugenie and Jack Brooksbank's star-studded Windsor wedding.
    Analyst lowers prediction of iPhone XR shipments by as much as 30%

    Analyst lowers prediction of iPhone XR shipments by as much as 30%

    Oclaro Inc., which is being bought by Lumentum, lost 11 per cent, on track for its biggest drop since April. Shares of Lumentum plummeted a record 30 per cent while Apple dropped as much as 4.1 per cent.
    Nets' Caris LeVert suffers devastating leg injury

    Nets' Caris LeVert suffers devastating leg injury

    A stretcher was quickly brought out, and once his leg was stabilized, LeVert was taken off the floor. Hopefully LeVert comes back even better next season for the Nets.
  • Morrissey Gets Attacked On Stage By Aggressive Fans

    Morrissey Gets Attacked On Stage By Aggressive Fans

    Trying anything they could do to jump onstage and touch him, or hug him", a statement attributed to Peter Katsis reads. Furthermore, Peter said that the one fan was more aggressive than others, so security had to do what they normally do.
    The Fallout 76 Global Launch Times Have Been Announced

    The Fallout 76 Global Launch Times Have Been Announced

    What do you hope to see from Fallout 76 after its release? If you're on PC, then you don't have to do anything. If you're pre-loading on console, you will need to re-download the game from the store page.
    Now even the French Army is rinsing Trump about cemetery no-show

    Now even the French Army is rinsing Trump about cemetery no-show

    Also known as the Belleau Wood cemetery, the site is home to the graves of 2,289 American war dead and 1,060 names of the missing. More than 2,000 United States troops are buried at Aisne-Marne American Cemetery, where Trump was meant to visit on Saturday.
  • Lorde calls out Kanye for stealing her stage set

    Lorde calls out Kanye for stealing her stage set

    Kanye and Cudi's stage design during their performance at Camp Flog Gnaw this past weekend featured an nearly identical box. Kanye West and Kid Cudi performed Sunday at Los Angeles's Camp Flog Gnaw festival inside a suspended glass box.
    Czech Republic beat US  to win Fed Cup

    Czech Republic beat US to win Fed Cup

    The Czech bullet train just could not be stopped as they seem on course for a fourth title in the past five years. It's disappointing for me 'cause I had like two match points but couldn't turn things around.
    Brexit deal possible in next 24-48 hours, May's deputy says

    Brexit deal possible in next 24-48 hours, May's deputy says

    Johnson backed his brother Jo's resignation from the Government and attacked the Prime Minister's Brexit proposals as "shameful". Former culture secretary John Whittingdale said Mrs May would have to go if she could not get a Brexit deal through the Commons.


Popular

Pound soars after U.K., European Union agree on text for Brexit deal
He said the deal was a "failure to deliver on Brexit" and made it hard to "trust anything that comes out of Downing Street" again. They would, it is understood, be given legal advice prepared by the Attorney-General on how the deal might work in practice.

With New Excuse, Trump Blames Secret Service For Missing Military Cemetery
Trump later attended the remembrance services with other world leaders to mark the centenary of the end of the First World War . White House press secretary Sarah Huckabee Sanders cited security protocols for the decision that got them to the event late.

New Toy 'Forky' Causes Total Chaos in First Toy Story 4 Trailer
In the video, the pair react to yesterday's teaser in a safe for work parody of one of their sketches from Key & Peele. They're also big fans of the Toy Story series, as we see in this teaser trailer for the forthcoming movie.

OnePlus 6T Coming in New Color This Week
Right on cue, OnePlus announced that the Thunder Purple color will make its way to Europe and North America. It comes with Android 9.0 Pie out of the box and hosts 3700 mAh battery with Dash charging support.

New BMW M340i sedan: more details about 'M3 Lite' emerge
Both rear- and all-wheel-drive models come with a standard M Sport limited-slip differential for improved traction and cornering. The power is transmitted to the rear wheels (or all four in the xDrive version) through an eight-speed automatic transmission.

The Surface Go with LTE Advanced is now available to pre-order
The November 20 launch date applies to the U.S. and Canada, with availability spreading to other markets just two days later. Pricing for the LTE model starts at $679 for consumers and $729 for commercial customers.

UK police make arrest in hunt for 'Friends' lookalike thief
The image of a suspected thief, taken in Blackpool , was widely shared after internet users noted his resemblance to actor David Schwimmer .

Hamas Missile Barrage Strikes Israel | Homeland Security
Following Sunday's raid, thousands in Gaza called for revenge for the death of Nur Barakah, a mid-level Hamas commander. In Israel, at least 10 people were injured in the rocket attacks, the news service reports , citing medical officials.

Speakers warn against needless use of antibiotics
More Australians reported awareness of the term "antibiotic resistance' in 2017 (74%) compared to 70% in 2014". The best way to avoid infections is to clean your hands regularly and thoroughly'.

Awful: Cops shoot armed security guard who stopped bar shooting
Roberson was planning to take the police exam in pursuit of his dream of becoming a Chicago Police officer, according to WGN . Officers from Robbins, Illinois, and the nearby village of Midlothian were responding to reports of shots fired after 4 a.m.