Saudis Have Few Good Options in Oil Talks With OPEC+ Allies - Bloomberg:
While Saudi Arabia and its allies may be considering all possible means to end the slump in oil prices, the options available to them are scarce.
The world’s biggest crude exporters have already been laboring since the beginning of the year to shore up prices by cutting production. That Brent futures nonetheless sank on Wednesday to a seven-month low demonstrates the limits of their powers.
Unlike previous market routs, the immediate problem doesn’t seem to be one of excess supplies. Instead, a cooling global economy and a prolonged trade dispute between the U.S. and China are putting a brake on fuel demand. Even if the Saudis and others in the OPEC+ cartel decide to cut output further, they may struggle to revive prices.
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