The Organisation of Petroleum Exporting Countries (OPEC) meet in 2 weeks to discuss further cuts to supply.
The meeting in Vienna will aim to underpin the oil price which continues to fall in light of excess production.
A reminder that the agreement to cut production back in November led to a 15% rise in the oil price in a mere 3 days so it will be interesting to see what transpires here.
It is likely OPEC will extend the duration of the agreed upon cuts but will not cut production levels further.
In recent days, major oil producers such as Iraq, Kuwait and Algeria have expressed support for the extension of last year’s cuts. Meanwhile, Russia a non-OPEC member, has also backed the continuation for production cuts given stronger demand was needed to break the current ceiling on prices.
Elsewhere, the French election went the way pundits expected with Emmanuel Macron becoming the youngest President of France since Napoleon.
His political movement, En Marche, received nearly two thirds of the overall vote. Macron’s internationalist pro-EU policies will now focus on rebuilding European unity citing last year’s Brexit as a breakdown of a strong partnership.
Have a great weekend.
Jono & Guy
Index | Change | % | |
U.S. S&P 500 | 2394 | +4 | +0.2% |
London’s FTSE | 7387 | +139 | +1.9% |
Japan’s Nikkei | 19962 | +516 | +2.7% |
Hang Seng | 25126 | +442 | +1.8% |
China’s Shanghai | 3062 | -65 | -2.1% |
Disclaimer: This information has been prepared by Primestock Securities Limited ABN 67 089 676 068, AFSL 239180 (“Prime”). Prime accepts no obligation to correct or update the information or opinions in it. This information does not take into account your objectives, financial situation or needs. Before acting on this information, you should consider whether it is appropriate to your situation. It is recommended that you obtain financial, legal and taxation advice before making any financial investment decision. Prime is bound by the Australian Privacy Principles for the handling of personal information.