Thursday 5 March 2020

Oil Holds Below $47 as OPEC’s Planned Cut Awaits Russian Backing - Bloomberg

Oil Holds Below $47 as OPEC’s Planned Cut Awaits Russian Backing - Bloomberg:

Oil held below $47 a barrel in New York as OPEC agreed on a sharp production cut that’s still dependent on approval from Russia.

Crude initially rose as ministers meeting in Vienna backed a 1.5 million-barrel-a-day reduction, but erased gains as it became clear that the plan is contingent on Russia’s support. Energy Minister Alexander Novak on Wednesday had refused to endorse such a move, and won’t return to negotiations until Friday.


“It is a big cut and a surprise they could agree on that,” said Jens Pedersen, senior analyst at Danske Bank. “But let’s see the country-split and how large a share Saudi Arabia takes.”

West Texas Intermediate futures for April delivery rose 1 cent to $46.79 a barrel on the New York Mercantile Exchange as of 11:46 a.m. London time. Brent futures for May were little changed at $51.10 a barrel on the ICE Futures Europe exchange.

No comments:

Post a Comment