Crude Oil Price Forecast - crude oil markets fall hard again on Thursday

Oil prices skid amid global stock market slump, swelling US supply

The Saudi minister said that it was important that all non-OPEC producers participate in any agreement to reduce production and that all options were on the table to reach an agreement.

OPEC meets on Thursday in Vienna, followed by talks with allies such as Russian Federation on Friday.

He tells reporters the nations are "after a stable market and also a fair price for the producers as well as the consumers". A cut of a million barrels would be the minimum to support the market, and anything less could see the price of oil fall another $10 a barrel, according to Wilson.

It is unclear for now how much each country is willing to cut, particularly Russian Federation, which has been less enthusiastic for production limits than in 2016, when the group along with its allies collectively agreed to reduce output by 1.8 million bpd starting January 2017, with an extension through to May this year.

The lower prices may lead to a slowdown in drilling activity and lower investments in the shale patch, US oil industry executives and analysts say.

So, this might mean a mere conservative cut in crude output - a middle ground that is not too disappointing in the eyes of participants in the oil market, yet not too severe to prompt angry reaction from Washington.

US President Donald Trump has repeatedly pushed Saudi Arabia and OPEC to boost oil production in order to drive down crude prices. This comes as US crude oil is now trading at $53 a barrel, which is down from a four-year high.

That would be a more bullish outcome than Al-Falih had hinted at early in the day, when he said a reduction of about 1 million barrels a day from the entire OPEC+ coalition should be adequate and "certainly we don't want to shock the market".

Oil prices skid amid global stock market slump, swelling US supply
OPEC members expected to agree oil production cut

While ministers met in OPEC's Vienna headquarters, Trump tweeted that the "world does not want to see, or need, higher oil prices!".

WTI Crude prices at $50 are scaring the US shale patch, according to Price Futures Group analyst Phil Flynn.

Saudi Arabia, the de facto head of the cartel, finds itself in an especially delicate position in the wake of the murder of journalist Jamal Khashoggi. Delegates said details of how to share that out and the extent of the contribution from non-OPEC allies remained unresolved.

"The big unknown is how President Trump will react to any production cuts", said analysts at ING.

Oil output from the world's biggest producers - OPEC, Russia and the United States - has increased by a 3.3 million bpd since the end of 2017, to 56.38 million bpd, meeting nearly 60 per cent of global consumption. Trump has backed Saudi Crown Prince Mohammed bin Salman despite calls from many United States politicians to impose stiff sanctions on Riyadh.

Zanganeh said the estimated surplus now on the market amounted to 1.3-2.4 million barrels per day.

OPEC members will also have to contend with Iran. While it said it was purely a practical decision because it mainly produces natural gas and little oil, the move was viewed as a symbolic snub to the Saudi-dominated organization.

Sully the service dog bids farewell to President George HW Bush
The commemorations conclude on Thursday, when the casket will be flown back to Houston for a service at St. There will be a motorcade that transports Bush to Washington National Cathedral for a state funeral.

Related:

Comments

Latest news

Huawei CFO arrested in Canada for alleged trade with Iran
After the dinner, the two nations announced they would pause any escalation of tariffs and resume trade negotiations for 90 days. Over the summer, Australia barred Huawei from providing 5G technology for wireless networks in the country over espionage fears.

India's pace hype faces stern Australia test
He has made some adjustments which have helped him. "I don't think it's going to play a massive part in this game". The 24-year-old pacer has claimed 28 wickets in six Tests with an impressive economy of 2.91 per over.

Lenovo to beat Samsung and Huawei to the punch hole smartphone game
Speaking of the front, the Galaxy S10 Plus sports two selfie cameras in a display hole or camera cutout, rather than in a notch. It will be powered by a Snapdragon 710 SoC along with up to 6GB of RAM and 128GB of internal storage (expandable up to 512GB).

Post office, other federal offices closed for Bush funeral services
A national day of mourning has been declared for today to honor the life of the 41st president of the United States, George H.W. A humble hero of World War II, Bush was just 20 when he survived being shot down during a bombing run over a Japanese island.

Kiev says Russian Federation has 'partially unlocked' Ukrainian Azov Sea ports - worldwide
Of similar concern to North Atlantic Treaty Organisation is Russia's new SSC8 missile system. "It is mobile and hard to detect. The Russians began inspecting ships and the Ukrainians accused them of imposing an economic blockade.

5G Galaxy S10 with Snapdragon 855 seems like a done deal
In addition, Qualcomm re-launched its ultrasonic, under-glass fingerprint sensor technology, called the Qualcomm 3D Sonic Sensor. Similarly, it's possible to store an entire set of burst images or multiple lens profiles in the same container using HEIF .

Apologetic Pickford: Merseyside derby clanger won’t affect me
I didn't want to run, ' said Klopp who sprinted onto the Anfield pitch to embrace keeper Alisson. Silva said he was proud of his players and refused to apportion any blame to Pickford.

Marine rescued after 2 military aircraft crash off coast of Japan
A F-18 with two people on board and a KC-130 with five on board were involved in the incident about 200 miles off Iwakuni, Japan . The aircraft were identified as a KC-130-a plane involved in aerial refueling-and an F/A-18 Hornet-a twin engine fighter jet.

Eric Trump slams Kellyanne Conway's husband for showing 'utter disrespect'
In August 2015 , the Trump campaign stated that Stone was sacked , after several inflammatory social media posts were publicized. The president on Monday blasted Cohen for his request and said he should "serve a full and complete sentence".

Fortnite Creative Coming In Season 7
So we would assume that today's third and final poster offers yet more clues at new equipment coming to the game in Season 7. Many are speculating that season seven will be winter-themed, with most of the images featuring a winter aesthetic.

It’s official: Samsung will reveal its first 5G Galaxy smartphone this week
Together, Samsung and Verizon have made huge gains in bringing 5G commercial services to consumers in several cities. Samsung Galaxy S10 with 5G variant could come in the first half of 2019 in partnership with Verizon.

Lean in? That sh-t doesn't work all the time: Michelle Obama
On Monday she said universities needed to do more to encourage pupils from schools like EGA, to be more diverse. I think we too often suffer from the tyranny of low expectations".

UN Security Council to meet on Iran missile test
Secretary of State Mike Pompeo said President Trump is building a new world order based on the foundation of American values. The Iran nuclear deal , although highly controversial, was considered one of the Obama administration's major legacies.

Look Out Mars, Here Comes InSight
A live webcast of the approach and landing InSight to Mars will be carried out on 26 November on the official website of NASA . If you're in New York City, the historic NASA InSight Lander landing will be broadcast on the Nasdaq screen in Times Square.

Bush’s service dog honors the late president
Bush had a form of Parkinson's disease that caused slow movements and difficulty balancing, among other symptoms. According to Sully's Instagram account , he also spent a lot of time frolicking on the beach and playing fetch.

Other news