In the past few days, OPEC decided to push more remarks and statements to the market, sending a clear message that the time has come to discuss a possible extension of December’s deal.
OPEC noted that there is a high possibility to discuss such decision in OPEC’s next meeting in June, in order to grant stable prices in the near future.
Does This Matter?
As we noted many times in our previous reports, remarks, statements or comments by either OPEC or Non-OPEC members does not matter anymore.
Crude Oil prices have reached a situation where such remarks are not enough to push the prices higher like what happened last year, when the prices spiked more than 100% on the estimates of a possible deal “soon” despite the fact that the deal has been reached after 11 months from the first statement by OPEC.
Despite the fact that crude oil has stabilized above key supports since the beginning of the week. Yet, this does not mean that the remarks will push the prices higher again.
Crude Oil needs actions and decisions but not remarks, statements or comments by any of the members.
Read more: https://www.orbex.com/blog/2017/03/opec-sent-remarks-oil-reacts/