Financial observation: Major oil producing countries gradually increase production to cope with uncertain demand

Original title: Financial observation: Major oil producing countries gradually increase production to cope with uncertain demand

　　OPEC(OPEC) and non-OPEC oil producing countries at ministerial levelmeetingHeld on video on the 3rd, the meeting decided to increase production by an average of 500,000 barrels per day starting in January next year, and then negotiated monthly adjustments.

Analysts said the gradual increase in production can guarantee originally fragile energymarketIt continues to recover, but considering that the new corona epidemic still existsUncertainty, Affecting crude oilrequest，short termInternationalOil priceHe will still be under pressure.

Due to the impact of the epidemic earlier this year, the international oil market was sluggish and the income of oil-producing countries continued to decline. Desperate, the oil producing countries reached an agreement to cut production.

Production cuts will help support international oil prices, but require coordination between oil-producing countries. Under the agreement, OPEC and non-oil producing countries will cut production by an average of 9.7 million barrels per day from May to July this year and will cut production by an average of 7.7 million barrels per day. from August to the end of this year.

Recently, when the international crude oilpriceWhen there was a rebound, some oil-producing countries began to question the previous policy of strict control of crude oil production, hoping to expand crude oil production to increase revenue. According to local media reports in Saudi Arabia, many oil-producing countries are willing to increase the scale of oil production in 2021.

However, this view is not a consensus of many parties. Some oil producing countries believe that, with the resumption of the epidemic in many countries, the international crude oil market is still uncertain, the demand side is still fragile and the time for large-scale production increases has not yet come. .

Some analysts believe that the consequences of improper measures to increase production can be counterproductive. If OPEC and non-OPEC oil producing countries significantly increase their daily production, international oil prices could fall and cause huge losses in 2021.

Aksithe companyStephen Innis, chief strategist for global markets, said that in passenger planes, trains and automobiles,trafficThe tools are working again and again on a global scale and countries are starting to do soEffective controlBefore the epidemic and promoting a substantial economic recovery, international oil prices will remain at current levels.

According to the agreement reached at the last ministerial meeting, starting from January next year, OPEC and non-oil producing countries will hold a monthly ministerial meeting to assess market conditions and determine the extent of production adjustments for the month. following. Over 500,000 barrels per day.

　　Consulting companyKalmar EnergyCEORobin Mills said the monthly plan to moderately increase production is more pragmatic, which will not lead to blind market movements and can be gradually adapted according to the objective situation of epidemic prevention and control.

(Source: Xinhua News Agency)

(Responsible publisher: DF522)