04.06.2015 - OPEC meeting will be held tomorrow
The price of Light Sweet crude oil continues to show a high level of volatility and moves near the level of 60 dollars per barrel. Tomorrow will be held a meeting at which the OPEC cartel's member countries will probably decide to leave oil production quotas at 30 million barrels a day. There is also potential for increasing oil production quotas. We recall that last month the volume of production exceeded 31 million barrels of oil per day. In addition, a central theme in the next month will be the lifting of sanctions against Iran. The final agreement will probably be signed at the end of this month. In this case, the excess of supply of oil on the market can grow, which will be negatively displayed on the quotes. We maintain a medium-term negative outlook on oil and we expect strong growth in volatility in coming months.