Being Bullish About End Of OPEC+ Spat Is Bizarre As Fundamentals Point To Oil Below $15

Being Bullish About End Of OPEC+ Spat Is Bizarre As Fundamentals Point To Oil Below $15

Oil trading in April began with an extraordinary price surge for a market that has been pretty dire for much of March.. President Donald Trump hinting that Saudi Arabia and Russia might be willing to cut production by "10-15 million barrels.". A market starved of positive sentiment assumed Trump's tweet to imply that Moscow and Riyadh might drive a 10-15 million barrels per day (bpd) cut despite the President's lack of specifics.. A swift rebuttal from Saudi Arabia followed with the Kingdom's Foreign Minister Prince Faisal bin Farhan noting comments by Putin laying blame on Riyadh for the collapse of OPEC+ were "fully devoid of truth.". And according Refinitiv data, Saudi Arabia is well on its way towards pushing its promised increase in exports for April.. Asia-focused investment bank Standard Chartered expects a market surplus of 21.8 million bpd in April, followed by surpluses of 19.5 million bpd and 13.7 million bpd in May and June respectively.. Only will the pain of such low prices enforce production cuts that may prove to be price supportive for third and fourth quarters, so assuming the coronavirus pandemic is brought under control.. I am a UK-based oil & gas sector analyst