Oil Jumps after Supply Cuts from Saudia Arabia 6/4/2023

Oil prices rose at the opening of Asian trading session yesterday due to Saudi Arabia's decision to cut oil supply by an additional 1M barrels per day. The decision comes after mixed sentiments with the cartel's present cuts and increasing Russian oil sales in the region. The Saudis are the only member nation proceeding with additional cuts after slumping oil prices over recent weeks. This measure is the Saud's attempt to stabilize prices as its breakeven benchmark hovers of $80 per barrel according to latest estimates.

WTI Crude (CL) jumped to $75ish levels after retracing to $72.30ish levels. We could see increased volatility this week as traders factor in Saudi cuts. $75ish levels could be retested as markets try to find a balanced price with crude.

Lets see how the 🎲 roll.

#futures #wticrude #saudiarabia #opec