Oil at Six-Year High

Today, West Texas Intermediate crude futures traded as high as $76.98, the highest price per barrel since November 2014.  On Monday, news of OPEC+ not increasing oil production hit the news.  OPEC+ cut production by nearly 10 million barrels a day, in April 2020 to support lower demand from the pandemic.  OPEC+ has been meeting […]

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OPEC Plus “Cuts” Deal to Boost Supply

OPEC Plus “Cuts” Deal to Boost Supply OPEC and its “plus” allies have reached another covid-induced agreement, but this time it will not be more production cuts. For the second time since the covid pandemic began, the OPEC plus members will be reversing the reductions and beginning to increase production. The increases are scheduled over […]

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The Next OPEC + Discussion

During last week’s OPEC + meeting the group agreed to keep production cuts of 9.7 million barrels per day until the end of July.  This effort has helped bolster oil prices to levels of almost double the values in April. The prior OPEC + meeting brought forth the creation of a new advisory group, the […]

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Will the Oil Rally Lose its Luster?

As we near the end of May, we will put behind us one of the most bullish rallies for the WTI crude oil contract in history with crude jumping almost 75% this month alone. Of course, with WTI prices currently trading at $33.33/barrel, that’s not saying much, as it is widely perceived the breakeven price […]

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Is the OPEC Deal Too Late?

OPEC+ reached an agreement to cut 9.7 million barrels per day (mb/d) beginning in May which is a record-breaking cut, but it still may not be enough to stabilize the market. U.S. Secretary of Energy Dan Brouillette said that the total number of cuts globally, when you add in all the non-OPEC countries, should be […]

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OPEC+ Reaches Agreement

The Organization of the Petroleum Exporting Countries (OPEC) and allies agreed yesterday to cut production of crude oil by 9.7 million barrels per day (bpd) in May and June, 7.6 million bpd July – December, and 5.6 million bpd January 2021 – April 2022.  The 9.7 million bpd is roughly 10% of the global supply.  […]

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OPEC Deepens Output Cuts

The OPEC meeting that concluded today in Vienna ended with ministers approving productions cuts for the first quarter of 2020. The cuts for OPEC+ will be increased from 1.2 million bpd to 1.7 million bpd.  A 500,000 bpd cut should be painless for the organization as they are currently at  over-compliance with the cuts as […]

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