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OPEC is preparing a revolutionary solution for oil production. It is cheaper in the morning

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Still on the market crushed yesterday’s sales of securities in the United States and Asia

Global oil prices fall ahead of new meetings producing countries. At the start of trading on December 6 February futures for Brent fell by 0.83% to $61,05 per barrel, while the January WTI futures lost 1.04 percent of the cost and ended up on $52,34 per barrel.

“News and rumors have a short term impact on the market, so speculators began to exit the long positions, without waiting for OPEC decision,” explained price movement analyst at Alpari Vladislav Antonov.

At the same time on the commodity market under pressure sales of securities in the United States and Austria, which occurred yesterday after a chaotic and weird news on trade negotiations between the US and China.

Yesterday in Vienna started meeting participants of the oil market — OPEC and OPEC+, and we began to take the first decision. During the meeting of the Ministerial monitoring Committee of OPEC+ discussed the reduction of oil production in the first half of 2019. However, the final decision is still pending, and it is unclear how it will reduce production of “black gold”. The figures will be discussed today at the summit of OPEC, and Friday should be more concrete decisions.

“According to rumors, the OPEC countries agreed to lower the level of oil production by 1 million barrels a day,” — said Antonov.

It is very small. Over the past year, oil consumption in the world increased to 1.7 million barrels./day, which is significantly above the average for the last 10 years and 1.1 million barrels./day. So the decision for the extraction of one million barrels will seriously shake up the market.

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