OctaFX | OctaFX Forex Broker
Open trading account
Back

Oil eyes 2015 lows after OPEC lifts output ceiling

FXStreet (Mumbai) - Oil prices fell sharply on Monday and are closing-in on 2015 lows after the OPEC lifted its daily output quota on Friday.

The OPEC’s move indicated that the group is likely to continue its strategy of defending the market so long as the non-OPEC members maintain their production levels.

At the time of writing, the WTI Jan futures were down 2.9% at USD 38.83/barrel. Brent futures were down 1.9% at USD 42.18/barrel.

As per the Reuters reports, Saudi Aramco Chief Executive Amin Nasser said at a conference in Doha on Monday he hoped to see oil prices adjust at the beginning of next year as unconventional oil supplies start to decline. The comments again underscored the fact that the kingdom is relying on market adjustment to support prices rather than cut production.

Meanwhile, the data on Friday showed U.S. rig count numbers were down by 31 month-on-month to 760 rigs. However, the data got overshadowed by the OPEC decision.

USD/CHF seeks fresh momentum around parity

USD/CHF has managed to take back some of the steep losses incurred last week after the ECB fell short of expectations at providing further monetary stimulus. USD/CHF dropped nearly 400 pips in one single day and bottomed out at 0.9874, from where it has been staging a mild upward correction.
Read more Previous

GBP/USD depressed around 1.5060

The British pound remains entrenched in the negative ground at the beginning of the week, with GBP/USD testing session lows in the mid-1.50s so far...
Read more Next
Start livechat