Monday, April 18, 2016

Disappointment Over Oil Supply Cap Failure Pushes Crude Prices Down

  
Oil price tumbled on Monday and OPEC’s credibility has been seriously undermined with the failure of talks to try to freeze the production of crude.

A prospective deal involving 18 oil exporting countries fell apart when Saudi Arabia said that Iran must be a part of it. The agreement was supposed to stabilise output at January levels until October 2016.

The host for the meeting, Qatar’s Energy Minister Mohammed bin Saleh al-Sada, said more time was needed: “Fundamentals are improving now and oil is heading in the right direction: how long will it [take to] balance itself, we are yet to see, but it is certainly [heading] in the right direction”. 

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Source: Euronews

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