Saudi Arabia and Russia have reiterated their commitment to maintain their production and export cuts until the end of the year.
Saudi Arabia and Russia have confirmed they will extend their voluntary production and export cuts until the end of the year in a largely expected move to keep a lid on a solid portion of global supply. 'This additional voluntary cut comes to reinforce the precautionary efforts made by OPEC countries with the aim of supporting the stability and balance of oil markets,' Reuters quoted a statement from the Saudi energy ministry as saying.
Commenting on the Saudi and Russian updates, ING’s Warren Patterson and Ewa Manthey noted that this extension was expected but the market would be interested in whether the two would extend the cuts further into 2024. This might suggest the current extension was unlikely to have any immediate effect on prices but an extension into 2024 might move the benchmarks.
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