For those of you who don't know, Russia and Saudi Arabia signed an agreement on cooperating in the global market of crude oil. The news pushed oil prices higher. To be more specific, Brent oil gained 4% instantly after the news. Still, the rally was strong but short.
According to Masterforex-V Academy experts, this is a historical moment for the entire oil industry and market. The agreement was signed by the Alexander Novak and Khalid Al-Falikh.
While commenting on the agreement, the Russian Minister of Energy underlined that the Russian Federation and Saudi Arabia are the world’s 2 biggest oil producers. The agreement is treated as an important turning point in the relations between OPEC and non-OPEC nations producing crude oil worldwide. The 2 players have the biggest impact on the global market of crude oil, which is why the agreement aimed at cooperation is definitely going to play one of the key roles in the future oil pricing. Some experts believe that this step is definitely going to stabilize the market and back higher oil prices.
By singing the mentioned agreement, Russia and Saudi Arabia started a new era in the oil industry. The cooperation translates from strategic cooperation to a tighter and deeper interaction. The first meeting within the scope of the new agreement is scheduled for October.
This meeting is aimed at widening the cooperation between the 2 oil nations.
