Can Oil Bounce Again as OPEC Meets?

Crude oil costs have been tumbling for a lot of the yr as a provide glut, robust greenback, and geopolitical developments around the globe proceed to exert strain.

Simply final week, oil costs noticed an uptick as the continued battle within the Center East escalated after Turkey shot down a Russian warplane it claimed strayed into its airspace. Russia is likely one of the world’s largest oil producers.

On Monday, throughout Asian commerce, oil costs noticed marginal uptick after falling over 1 % on Friday. U.S. crude was up 18 cents, buying and selling at $ 41.88 a barrel whereas the internationally traded Brent was up four cents at $ 44.90 a barrel.

Power corporations have been steadily chopping prices, tasks, and jobs to deal with falling revenues because of decrease oil costs. Earlier within the yr, a number of huge corporations introduced their intention to slash their international workforce to remain afloat – Royal Dutch Shell stated it anticipated to chop 6,500 jobs.

Buyers shall be intently watching a gathering between the Group of the Petroleum Exporting Nations (OPEC) in Vienna later this week, as they determine on insurance policies to deal with the worldwide provide glut which is retaining oil under the $ 50 benchmark.

Earlier this month, the Saudi minister for petroleum and mineral assets, Ali bin Ibrahim Al-Naimi, stated at a convention in Bahrain that Saudi Arabia is able to cooperate with different oil producers to stabilize the market.

Saudi Arabia is likely one of the largest exporter of petroleum.

Can Oil Bounce Again as OPEC Meets?