The Russian government is getting ready for the results of the OPEC meeting. Still, the release published by the analytics center says that the Kremlin was warned that Russia shouldn’t promote the idea of cutting oil production amid lower oil prices. Last fall, when Russia and Saudi Arabia had talks over the issue, a lot of experts were convinced that the OPEc and Russia may agree to start cutting their oil production a little bit to suspend the downswing of oil prices and to back the price recovery in the longer-term future.
Still, experts say that if Russia cuts its oil production, the OPEC will be able to make up for the Russian oil in Europe. As we saw, Russia left the production unchanged. A couple of days later, Saudi Arabia promoted the same idea despite the fact that some OPEC members were against it. This triggered an even bigger price drop in the global oil market.
Now, 6 months later, the situation repeats itself. Meanwhile, the prices are currently fluctuating around $63 per barrel. This is confirmed by the chart below, courtesy of Masterforex-V Academy. The prices have seen a bit of recovery so far. In early 2015, they were close to $46 per barrel.
