Heroes of Ukraine

«Market Leader» - news and previews making you rich.

Sunday, 10 December 19:41 (GMT -05:00)



Stock and commodities markets

Experts Criticize OPEC+ Agreement for Unpredictable Outcomes


OPEC exporters may beat the target related to the OPEC+ agreement, which now seems to be a point of concern for international investors, The Wall Street Journal reports.
 
There is almost 100% certainty that the OPEC and some non-OPEC oil exporters led by Russia are going to extend the OPEC+ agreement (including the 2% production cap) during the OPEC summit in Vienna scheduled for November 30th. However, both OPEC members and international community cannot be sure that the deal extension will manage to keep supporting oil prices relatively high over an extended period of time. Chances are, the decision to extend the deal all the way up until the end of 2018 may trigger a too rapid oil rally. If that’s the case, we’ll see a rapid drop in the global demand for crude oil, and that’s something no oil exporter wants to see.
 
Merchant Commodity representative Doug King doesn’t deny a rally up to $70/b in the coming weeks. Over the last 3 months, oil prices have gone up by 20%. Brent oil exceeded $63/b while WTI oil nearly reached $59/b over the same reporting period. These are major highs – the highest price levels since June 2015, NordFX experts report.
 


At the same time, the OPEC+ deal signed last year now seem to have backed higher oil prices as expected, even though it took more time than expected. Indeed, oil prices have been accelerating for a while. This is something that started worrying Saudi Arabia and some other major oil exporters. They don’t wont oil prices to rally too fast since this may scary away oil importers.
 
The bottom line is that the OPEC and their peers may “overdo it”, which may trigger a bigger demand for electro-cars and other green technologies independent from fossil fuels like crude oil.

On top of that, American shale oil companies may try to take advantage of the situation. Baker Hughes reports that the amount of functioning American oil rigs increased by 9 units up to 747 units over the past week.

 

 

 

You are free to discuss this article here:   forum for traders and investors

 

Add to blog
Got a question? – Ask it here »
 

Market Reaction to Zero Change in Fed’s Rate

Publication date: 23 September 03:30 AM

U.S. Investigation of Offshore Capitals May Ruin Putin’s Regime, Aslund Says

The international expert community has been busy discussing the search of Russian offshore capitals by Americans. Anders Aslund assumes that this investigation may eventually put an end to Putin’s regime.

 

 

 


Publication date: 06 September 11:37 PM

Russia Is Against Further Oil Production Cuts, Bloomberg Says

Moscow is against cutting their oil production any further if there is such an offer further down the road. They know that if they have to meet with OPEC members anytime in the near future, and given the fact that the recent extension of the Vienna Accord seems to be failing to do what it’s meant to do, such an offer may really be the case. By the way, Bloomberg reports that another Russia-OPEC meeting is scheduled for July 24, 2017 in Saint Petersburg, Russia.

Publication date: 05 July 07:13 AM

Pavel Krymov on the New Look of Venture Investing

Not so long ago, Ukraine hosted the first conference dedicated to block-chain business. The event was visited by some of the most popular representatives of the crypto-currency industry, including the owners of crypto exchanges, top managers, investment fund managers, developers, and the owners of other related financial projects.

 

Pavel Krymov, who is a well-known and respected expert in financial marketing, investing, and the author of several exclusive strategies of promoting financial services, was also among those who visited the conference.

Publication date: 16 June 09:22 PM

Nobody Can Predict Today’s Crude Oil Market

Today’s global market of crude oil keeps on bringing new surprises. This means it more and more difficult for international experts to predict future oil prices.

 

 
In his articles, oil market observer Sergei Shelin says that the representatives of the so-called international expert community failed on their forecasts once again the other day. To be more specific, nobody could have thought that the recent decision to extend the so-called Vienna Accord during the recent OPEC summit in the capital of Austria would eventually result in lower oil prices instead of pushing those prices higher.
Publication date: 08 June 07:11 AM

Bitcoin Crashes

Bitcoin has crashed by more than 600 dollars per 1BTC. This is confirmed by Coinbase. To be more specific, the exchange rate dropped all the way down to 1961 dollars per 1BTC. Experts say that this is not the end, and the crypto currency may well continue getting cheaper in the near future.
 
Publication date: 01 June 07:26 AM

Experts Don’t Believe That OPEC Will Push Oil Prices Higher

The average price of crude oil is still around 45 dollars per barrel. Some experts believe that no further production cuts will managed to change the situation and make the prices reach new local highs.

Publication date: 24 May 10:00 AM

OPEC-Russia Deal Hits Russian Oil Companies

Since Russian oil companies had to cut down on their daily oil production as the result of the so-called Vienna Accord signed in November 2016 by the OPEC and some non-OPEC producers led by Russia, those companies eventually lost a lot of profit, even though the production cuts seem to have had positive impact on the Russian budget. Apparently, the agreement was designed to reduce the oversupply and make oil prices grow to let the exporters gain more money as the result of higher oil prices in the global market.

 

 
Publication date: 22 May 05:06 AM

OPEC’s Unlikely to Make Further Oil Production Cuts, Expert Says

According to Vladimir Milov, President of the Russian Institute of Energy Politics, OPEC members and their partners have failed to trigger higher oil prices by cutting their daily oil production. At the same time, he believes that the cartel is not ready to implement further production cuts.
 
Publication date: 22 May 03:56 AM

Vienna Accord May Be Extended by 9 Months

During the recent press conference, Saudi Arabian Minister of Energy, Industry, and Mineral Resources Khalid A. Al-Falih told the reporters that the OPEC and non-OPEC oil producers are now actively discussing the possibility of extending the so-called Vienna Accord until March 2018, with the same quota of 1,8 million barrels a day.

Publication date: 15 May 11:01 AM