RE:why Kuwait oil cut is better then the opec freeze. If there is an initial drop in the markets I would get in is my suggestion to anyone who currently isnt.
daviddo wrote: Happy i stayed long this weekend and here are the reasons:
1) quote from Thomas Reutners:
"Oil prices fell in subdued trade as traders
and analysts anticipate a weekend
meeting of major oil exporters to do little
to help to clear global oversupply quickly,
even though it would provide a floor for the
market. All eyes are on Doha, as
producers, led by top exporters Saudi
Arabia and Russia will meet on Sunday to
discuss freezing output around current
levels in an effort to contain a glut
exacerbated by production that exceeds
demand by about 1.5 million barrels a day"
Facts: We just removed well over 1.5 million barrels a day due to a cut from Kuwaits oil workers are striking. Over 7000 people are striking indefinatly and will remove 60% of kuwaits oil off the market or over 1.6 million barrels.
Oil meeting on output freeze unlikely without Iran Agreement. quote "thomas reuters again"
Facts: This was already factored into the price thursday and friday. Anyalists were already giving the deal an unlikely status. notice price drop from $44 to $40.40 from start to end of week.
I dont think this so called deal should do much for the price of oil. We will see how big the news blows this up. But oil should be going up as 1.6 mill bbl have been removed from the market..
DDY