OPEC + emergency video conference postponed

China Petroleum Network Comprehensive News  In order to give OPEC more time to negotiate with non-OPEC countries, the OPEC + emergency video conference originally scheduled for April 6 may be postponed until the 9th of this month.

The international crude oil market experienced roller coaster fluctuations earlier this month. On April 6, WTI oil prices for May delivery closed at US $ 26.08 / barrel, a decrease of 7.97%; Brent oil prices for June delivery closed at US $ 33.05 / barrel, a decrease of 3.11%. In the April 2 session, WTI oil prices rose by a maximum of 36%, and Brent oil prices rose by a maximum of 39.6%, both of which were the largest single-day gains in history. The analysis believes that the main reason for the large fluctuations in oil prices is the recent three major oil-producing countries-Saudi Arabia, the United States, and Russia, chanting from across the air, constantly releasing signals of production cuts, but there are no clear measures to land, triggering market shocks.

For OPEC, including Saudi Arabia, it is working to reach an unprecedented agreement to reduce oil production by about 10% of the global oil supply. If this agreement is to be reached, it needs to include the participation of countries that have not reduced production in the past, and jointly reduce daily output by 10 million to 15 million barrels.

Goldman Sachs analyzed that there is still a long way to go before reaching an agreement. Even if an agreement is reached, its specific implementation still needs to be gradually advanced, at least in the next few weeks, production cuts will not have a substantial impact.