OPEC+ agree to cut oil production to boost sliding prices

OPEC + decided to cut production by two million barrels per day during the meeting that ended a while ago in Vienna. According to the news, the reduction will take effect next November.

Oil prices reversed their downward trend after the OPEC + decision was issued, to start recording increases of less than 1% until the moments of writing the report, with Nymex crude now reaching levels near 87 dollars a barrel, while Brent crude is approaching the levels of 93 dollars a barrel.

alliance looks set to make deep cuts in the amount of oil it ships to the global economy, which would reduce supply in an already tight market, despite pressure from the United States and other countries to pump more.

Energy ministers from the OPEC cartel, whose leading member is Saudi Arabia, and allied non-members, including Russia, are meeting in person at the group’s Vienna headquarters on Wednesday for the first time since the start of the COVID-19 pandemic in early 2020.

Saudi Arabia says that it seeks to prevent fluctuations and not target a specific price of oil, and the international benchmark Brent crude is trading at stability today, Wednesday, at $ 92 a barrel, after its rise yesterday.

Prince Abdulaziz bin Salman, the Saudi Minister of Energy, commented on a group of journalists who were waiting for him in front of the OPEC headquarters in Vienna when they asked him about his expectations for the meeting: He joked, “Enjoy the sunny weather here (in Vienna).”