OPEC to boost oil production by 1 million barrels per day

Traders work on the floor of the NYSE in New York

For about three weeks ahead of the Opec meeting, prices had retreated from 3-1/2-year highs on fears that larger production increases could lead to oversupply.

Trump weighed in again after Friday's OPEC decision was announced, tweeting: "Hope OPEC will increase output substantially".

But the joint communique did not spell out how the additional barrels would be divvied up, a key issue given Iran's insistence that cartel members should not be allowed to offset involuntary production losses in other member countries.

The "Declaration of Co-operation" agreement between Opec and allied non-Opec countries effective from January 1, 2017, has been very successful in balancing the market by reducing the overhang of a staggering 340mn barrels above the OECD (Organisation for Economic Co-operation and Development) five-year average commercial stock levels of 2.81bn barrels, he said.

"We have an agreement for a nominal increase of 1 million barrels a day (bpd)", Saudi Energy Minister Khalid Al-Falih said after the meeting.

Except for shale plays in the U.S., there is still a general hesitation in committing resources for oil exploration and development across the globe.

But unexpected outages in Venezuela, Libya and Angola have effectively brought supply cuts to around 2.8 million bpd in recent months.

Falih has warned the world could face a supply deficit of up to 1.8 million bpd in the second half of 2018 and that OPEC's responsibility was to address consumers' worries.

Saudi women are now driving as longstanding ban ends
Many haven't had a chance to take the gender-segregated driving courses that were first offered to women only three months ago. Activists have already begun campaigning to end the guardianship system, which has been chipped away at slowly over the years.

Melania 'deliberatelty' wore 'I don't care' jacket to meet child migrants
The show cut to a clip of the first lady saying she planned to figure out how she could help the kids who were detained. Some Reporters Who Cover Melania, mistaking it for a comment about the children, wondered how she could be so callous.

Dont blame Messi, pleads Argentina boss Sampaoli
Croatia secured three points in a 2-0 win against Nigeria in their opening game but enter the match under a cloud. Burger King removed the ad and tried to make amends after a furore erupted on social media and in global media.

Additionally, the current Venezuelan sanctions against the incumbent communist government of President Maduro prohibits buying or accepting as collateral any debt owed to the government or state owned PdVSA.

Ministers also acknowledged that production problems in several countries meant the real number of extra barrels coming to the market would be several hundred thousand less.

Taking a somewhat different stance, Russian Energy Minister Alexander Novak said Saturday's endorsement to increase oil production was based on "fundamental principles, on research done by our teams, by teams of our friends and colleagues, the OPEC secretariat". OPEC producers agreed to produce more oil.

"As a group we can meet the 100 percent compliance". US officials have asked Japan to completely halt oil imports from Iran, according to people with knowledge of the matter.

This week's OPEC talks in Vienna have been the most politically charged in years.

As a result, oil supplies fell deeper than expected, and oil prices rose more than expected. He also noted "the USA capital market and the ability to get lots of money very quickly" were going to be key indicators of future shale oil activities outside the market mechanism known as "oil prices". "More oil on the market means relatively lower prices for consumers".

Although higher prices are better for the oil industry, Wright says there must be a balance to prevent a dramatic spike in oil prices. On the upside, Crude oil prices also have the expected 1.44 mbpd increase in demand (up to 98.16 mbpd in 2018) for a Bullish case. Venezuela's production has dropped amid domestic political instability.

USA crude jumped 4.6 percent and Exxon Mobil advanced 2.1 percent. Crude prices in NY rose more than 3 percent to nearly $68 a barrel and rose about 2 percent in London to more than $74 a barrel.

Related news:

Hot News

isis-killer-beheading-video-story-top Turks vote for president, parliament in crucial test for Erdogan
Jun 24, 2018 - 14:38
Turkey's opposition candidates have repeatedly complained over the lack of airtime offered by largely pro-government media. Ince further stressed that he would lift Turkey's state of emergency which has been in place over the past two years.

isis-killer-beheading-video-story-top Macron proposes migrant centers in Europe to assess cases
Jun 24, 2018 - 14:33
The centers would be created in accordance with guidelines from the UN's refugee agency UNHCR, Macron said. Macron and Sanchez both stressed the need for a humanitarian but responsible approach to migration .

isis-killer-beheading-video-story-top England cricketers have some fun with debate over World Cup line-up
Jun 24, 2018 - 13:34
In contrast, England boss Gareth Southgate has selected a relatively green group in terms of global experience. Authorities in Colombia have said they are investigating a death threat made against Sanchez on social media.

isis-killer-beheading-video-story-top President Trump Ends Obama Policy Aimed At Protecting Great Lakes, US Oceans
Jun 23, 2018 - 01:02
He made no mention of the Deepwater Horizon that killed 11 workers and injured 17 and spilled 4.9 million barrels. The directive called on state and federal governments to work together to promote "healthy ocean ecosystems".

isis-killer-beheading-video-story-top Paul McCartney brings James Corden to tears on "Carpool Karaoke"
Jun 23, 2018 - 00:54
More from their joy ride here. " The Late Late Show " returns to US soil next week at it's regularly scheduled time (12:37 AM EST/11:37 PM C), only on CBS.

isis-killer-beheading-video-story-top Neymar picks up injury during Brazil's training ahead of Costa Rica match
Jun 23, 2018 - 00:43
Citing the Brazil press office, Neymar wasn't scheduled to fully participate in training after being fouled 10 times in the 1-1 draw against Switzerland over the weekend.

isis-killer-beheading-video-story-top England boss Southgate sees amusing side after dislocating shoulder
Jun 23, 2018 - 00:43
The Manchester City man has the pace and movement to cause chaos but 21 internationals without a goal is a damning statistic. Southgate joins Dele Alli on England's walking wounded list, with the Tottenham forward suffering from a quad complaint.

isis-killer-beheading-video-story-top Trump threatens 20 percent United States tariff on European Union vehicle imports
Jun 23, 2018 - 00:29
He told automakers at a White House meeting in May that he was planning tariffs on some imported vehicles. The tariff proposal has drawn sharp condemnation from Republican lawmakers and business groups.

isis-killer-beheading-video-story-top Will Deandre Ayton be the Phoenix Suns Answer on June 21
Jun 22, 2018 - 03:56
Following the workout, Ayton and Suns general manager Ryan McDonough addressed the media, here's what they had to say. Ayton is a "once in a lifetime" player that has that natural ability to do things that are just godlike.

isis-killer-beheading-video-story-top Hierro relieved as Spain pushed to limits by Iran
Jun 22, 2018 - 03:46
The Argentines drew their first game with Iceland 1-1, while the Croatians had a 2-0 win over Nigeria in their opening encounter. Despite their valiant display, Morocco will rue the unforgivable defending that made all their subsequent good work irrelevant.

isis-killer-beheading-video-story-top Melania Trump visits detention centre as immigration vote looms
Jun 22, 2018 - 02:39
If those options are exhausted, authorities must find the "least restrictive" setting for the child who arrived without parents. Trump's order also directs the attorney general to "prioritize the adjudication of cases involving detained families".

Shopping online? Now you will have to pay taxes
Jun 22, 2018 - 02:31
South Dakota has estimated that it could take in up to $50 million a year in additional revenue with these taxes being collected. For the full story, head on over to CNN Money . "In 1992, mail-order sales in the United States totaled $180 billion", he wrote.

isis-killer-beheading-video-story-top What's next for children already separated from their families?
Jun 21, 2018 - 18:18
In April, Attorney-General Jeff Sessions adopted a "zero tolerance " approach to illegal border crossings at the US-Mexico border. The Texas Civil Rights Project works to document the separations in the hopes of helping them reunite with the children.

isis-killer-beheading-video-story-top New Zealand Prime Minister Jacinda Ardern gives birth to girl
Jun 21, 2018 - 18:17
For young men, Gayford being the full time carer of a baby sends a powerful message that they too can exercise that choice. It's a baby girl for Prime Minister Jacinda Ardern and the buzz is being felt not just locally but all over the world.

isis-killer-beheading-video-story-top England snatched victory from the team of Tunisia
Jun 21, 2018 - 18:16
England shouldn't have found it so tough in its Group G opener against such opposition. According to oddsmakers, England is a -227 favorite to win on the moneyline.