Russia’s Novak: OPEC+ prioritizes mid-term strategy over US calls for more oil
Russian Deputy Prime Minister Alexander Novak said on Wednesday, OPEC and its allies (OPEC+) remain focussed on their policies to stabilize oil markets in the mid-term while resisting calls from Washington to boost output.
Key quotes
“We believe that it would be right for the market to show in the mid-term how we will increase production as demand grows.”
“The producing companies should understand beforehand which investments they have to plan in order to ensure a production increase.”
“The possible release of the strategic stockpiles by the United States and other large consumers will have a limited short-term impact on the oil market.”
“Global oil demand was seen rising by around 4 million barrels per day (bpd) next year after an increase of up to 5 million bpd this year.”
“An oil price of between $65 and $80 per barrel should be comfortable next year. “
Market reaction
WTI was last seen trading at $75.78, almost unchanged on the day.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
