March 15, 2017

IT'S A DELATIONARY EPOCH::

Opec faces quandary as cuts fail to hold up oil prices (Anjli Raval, 3/15/17, Financial Times)

Production cuts agreed between some of the world's biggest producers inside and outside the cartel alone have failed to hold up oil prices. Global storage tanks are brimming and the US shale industry is in resurgence.

Opec delegates, facing a familiar conundrum, question how painful a return to its old playbook of supporting the oil market will be. Having spent two years prioritising export volumes over price, it is now losing out on both.

A near 10 per cent drop in the Brent benchmark in the past week has erased all the gains since Opec and producers such as Russia agreed a supply cut deal late last year.


Posted by at March 15, 2017 10:08 AM

  

« GOTTA KNOW WHEN TO FOLD 'EM: | Main | SOCIAL PROMOTION?: »