OPEC+ agrees to extend oil-production cuts in effort to boost prices
(We’ll see if this has an effect on pricing later when it reopens but I doubt it-it may get a temporary bounce but still got that nasty head and shoulders top in it in cap 2)
OPEC+ agreed on Sunday to extend production cuts in an effort to support oil prices in the face of worries about global demand and rising U.S. output, but will begin to phase out some voluntary reductions after the third quarter.
OPEC+—made up of the Organization of the Petroleum Exporting Countries and its Russia-led allies—agreed to extend through the end of 2025 longstanding curbs totaling 3.66 million barrels a day, or mbd. The curbs had been due to expire at the end of the year. Under the agreement reached Sunday, the United Arab Emirates will see its production quota gradually lifted by 300,000 barrels a day between January and September of next year.
Separately, a round of 2.2 mbd in additional, voluntary cuts, including a 1 mbd reduction by Saudi Arabia, that was due to expire at the of June was extended through September, according to a statement issued by Saudi Arabia. The statement said the cuts would be restored gradually, on a monthly basis, until the end of 2025 and the phaseout can be stopped or reversed depending on market developments. Oil futures fell in May, with Brent crude BRN00, +0.32%, the global benchmark, falling 7.1% and West Texas Intermediate crude CL.1, -0.96% falling 6%—the largest monthly retreat of 2024 for both grades. Concerns around the demand outlook weighed on crude in May. Gasoline futures RB00, +0.74% tumbled 10% last month in the run-up to summer driving season, which runs from Memorial Day to Labor Day.
https://www.marketwatch.com/story/opec-agrees-to-extend-oil-production-cuts-in-effort-to-boost-prices-b00734a0
https://tradingeconomics.com/commodity/crude-oil