Mideast OPEC producers fret oil price rally may burn out

29 Sep 2017   OPEC

Middle East OPEC producers are concerned weak demand and excess supply in the first quarter of 2018 may undermine an oil price rally that has pushed Brent crude about 30 percent higher since June, OPEC and industry sources said. Supply cuts since Jan. 1 by the Organization of the Petroleum Exporting Countries, Russia and other producers helped lift prices, while Hurricane Harvey added to gains when it knocked out nearly a quarter of U.S. refining capacity. Benchmark Brent rose above $59 a barrel this week, its highest level in more than two years and nearing the $60 mark. Gulf oil sources have said OPEC’s largest producer Saudi Arabia would like to achieve that level this year. Brent is now trading around $58. “I don’t think it is sustainable,” said […]

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