Oil: What’s Next For OPEC’s ‘Dirty Harry?’

opec oil harry make prices
Gulf
  • Date: 07/20/2021
  • Source: Investing.com
  • Sector: Oil & Gas
  • Country: Gulf

Oil: What’s Next For OPEC’s ‘Dirty Harry?’

“I’m going to make sure whoever gambles on this market will be ‘ouching’ like hell',” Saudi Energy Minister Abdulaziz bin Salman vowed back in September, in a threat aimed at bears. Promising to make crude prices as “jumpy” as possible for those shorting them, he called on his rivals to “make my day”—a taunt used by Dirty Harry, a maverick cop, on the bad guys in the movies of the same name from the 70s and 80s.It took a while for the Saudi minister—sometimes referred to by just his initials, AbS—to make good on the promise. But when he did, at least some oil bears must have been ‘ouching.’ Crude prices jumped 25% over the three months to June, rising almost non-stop and up to 5% on certain days.Now, the oil market is back in a situation where AbS might have to warn short-sellers again. The question is how effective will he be this time. Crude prices saw their worst plunge in 16 months on Monday, right after the OPEC+ producer alliance led by AbS announced output hikes for August onward.While the production revision and price collapse were certainly related, the OPEC+ action itself wasn’t