Here’s What Citigroup to Goldman Say About the OPEC+ Oil Deal

SourceYahoo News
SectorOil & Gas
CountryMiddle east

(Bloomberg) — OPEC+ has overcome an internal dispute and salvaged a deal to add more barrels to the market, with the group set to boost output by 400,000 barrels a day each month from August until all its halted production has been revived. Brent oil fell toward $73 a barrel as investors digested the news.

Here’s what some analysts had to say about agreement, which was driven by the United Arab Emirates seeking better terms, and the broader outlook:

Citigroup

The market is very tight and a supply increase of 400,000 barrels a day will turn out to be a pittance, Ed Morse, global head of commodities research at Citigroup Inc., said in a Bloomberg television interview. Demand is significantly higher, despite the Covid-19 pandemic exploding in parts of the world, and oil prices are likely to climb much further by the time summer is over, he said.

Vanda Insights

The deal proves that OPEC+ is not only very much intact, but...read more...