As many experts predicted, OPEC decided to maintain its production ceiling at 30 million barrels per day (MMBOPD) at its June 5 meeting held in Vienna Austria. In OPEC’s press release following the meeting, the group said “the conference resolved to maintain the 30 MMBOPD ceiling and urged Member Countries to adhere to it.” Some analysts expected OPEC to raise its production cap as the cartel has exceeded its self-imposed limit for the past 12 months.
I doubt we see much of a move in oil prices as a result of the meeting. If they do stop over-producing, the price of oil may go up. U.S. oil production is on decline and demand for refined products will be going up a lot in the 3rd quarter.
The oil markets will react to any further advances by ISIS toward southern Iraq.
OPEC Meeting
OPEC Meeting
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: OPEC Meeting
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group