10 September, 2019
The oil market has recorded multi-week price peaks amid expectations that the cartel can renew the production cut agreement striving to support prices.
Today, prices for Brent futures rose to $62.87/bbl, while WTI benchmarks were at $58.15/bbl.
According to the market data, WTI quotes gained more than 2% this week; Brent ones - 1.7%. The increase is reportedly driven by the reports about the appointment of the new Energy Minister of Saudi Arabia.
The new minister Abdulaziz bin Salman stated that the production cut agreement would be maintained in case of general decision.
Along with the agreement, Abdulaziz bin Salman also commented during the energy conference in Abu Dhabi that the OPEC+ will keep existing for a long period asking cartel's members to follow the production targets.
Some market insiders express concerns that some producers do not strictly follow the agreement, citing that the oil output in Iraq and Nigeria exceeded the accepted level in August.