Currently, oil looks more poised considering the coming session of OPEC (organization of the petroleum exporting countries). From the previous session, this will be the 175th meeting which will be held December 6, 2018. Oil prices at the moment are breaking out leaving a narrow gap in between the line thereby bring recent upgrades and development under the radar.
In consideration of the relative strength index (RSI), the oil prices bounce back towards flash sales from sold territories. However, according to Saudi Arabia energy minister, in a comment said that the rebound was not pleasing at all as far as the country’s economy is concerned, and also he added that the crude oil rebound was a premature adjustment on the country’s production.
However, after this statement, Saudi Arabia energy minister said that up to now OPEC and all their allies remain unknown in delivering the announcement. However, the Saudi Arabia energy minister is hoping for a release of the decision at the beginning of next year. This announcement is primarily based on the way the crude oil price will be dealt with and the way forward.
From records and the previous comment by the minister, it is straightforward that the observation suggests that considering the previous reliance’s, there has been a significant growth rift between all alliance especially when it comes to Qatar plans in quitting from the group and head in focusing on specifically natural gas (liquefied).
However, lack of consensus on the response of falling crude oil prices which at the moment is predicted to weaken the outlook of crude oil demand across the world. Addition to this it has been reported that OPEC and allies alliances may opt to buy more time to avoid all the overemphasis which emerged recently after the violation of oil prices.
However, even after the violation of the prices, it has also0 been reported that crude oil prices are expected to raise come next year. This is after high demand for crude oil across the world and more so shortage in the product in the wells.