Oil Tumbles 4%, Reversing Cheer on OPEC+ Output Hike By Investing.com – Investing.com

SectorOil & Gas

© Reuters. By Barani Krishnan Investing.com - For better or worse, the world’s oil producers decided last week to defy Saudi Arabia and push for higher output over the next three months. After patting them on the back — even rewarding them — the market is now saying it was definitely for the worse. Crude prices fell more than 4% on Monday, reversing the pre-Good Friday rally, as traders frowned upon the decision by OPEC+ to put to rest its year-long production cuts on the assumption of increasing summer demand for oil. The 23-member OPEC+ —comprising the original 13 members of the Saudi-led Organization of the Petroleum Exporting Countries and 10 other oil producing nations steered by Russia — said on Thursday it will pump an additional 350,000 barrels per day in May and June, and a further 400,000 daily in July. While the announcement was greeted by a friendly market at that time, it was viewed with a different lens on Monday due ...read more...