Crude oil prices fell on doubts about the ability of oil producers to reach agreement on production cuts, per ANZ Bank.
“Saudi Arabia and Russia continue to hammer out a deal. Reports suggest they are focused on a three-month cut to output, although volumes have not been discussed. What is clear is that the US must be involved.”
“President Trump said he hasn’t been approached by OPEC yet. But following his meeting with oil executives over the weekend, the likelihood of them agreeing to a voluntary cut to output looks unlikely.”
“The market is coming to view that even with a sizeable cut to global supply, the market will remain in a significant surplus following the collapse in demand.”