Meeting in Algiers, officials from the Organization of the Petroleum Exporting Countries and producers, including Russian Federation, said after having increased production in recent months, customers now have adequate supplies.
Oil is maintaining strong bullish momentum, with daily MA's in full bullish configuration, supporting the advance.
USA commercial crude oil inventories C-STK-T-EIA are at their lowest since early 2015 and although US oil production C-OUT-T-EIA is near a record high of 11 million bpd, subdued USA drilling points toward a slowdown in output.
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Trump Accuses China of Election Meddling
The two spoke to the media before their bilateral meeting in Manhattan, while each are in town for the UN General Assembly. Trump said he believed that the embassy "was always the primary ingredient as to why deals couldn't get done".
Falih said Saudi Arabia has spare capacity to boost output but that this action was not necessary for now, and might not be needed next year because OPEC projects there will be a marked rise in oil production from non-OPEC countries which could outpace global demand. "What I can directly influence is ensuring that markets are well supplied, and that we will do today".
The american president seems to count on its saudi allies, the world's top exporter, to compensate for the drop in iranian exports.
It remains to be seen if the Organization of the Petroleum Exporting Countries (OPEC) will raise output to offset dwindling supplies.
The market estimates that this will lead to a cut of at least 1.5 million barrels a day.
Francisco Blanch, head of commodities research at Bank of America Corp., said in a note to clients on Monday that signals from OPEC mean "the likelihood of an oil spike and crash scenario akin to the one observed in 2008 has increased".
NBC26 Storm Shield Weather Forecast
The weekend has only one small hiccup in the forecast with a chance of showers late Saturday night into early Sunday morning. Skies are sunny with increasing cloudiness early in the afternoon then 60 per cent chance of showers late in the afternoon.
Oil prices, however, have trended higher amid concerns about supply.
With Brent crude already jumping to an nearly four-year high on Monday, that's exactly the kind of price surge President Donald Trump has been seeking to prevent by pressuring the Organization of Petroleum Exporting Countries to raise production. The meeting was attended by 20 participating producing countries of the Declaration of Cooperation (DoC), demonstrating their commitment to sustainable oil market stability, said the final communiqué.
In August, OPEC and its allies cut production by 600,000 bpd more than their pact required, mainly as a result of falling output in Iran as customers in Europe and Asia reduced purchases ahead of the USA sanctions deadline.
"It is crucial that we continue to predict and anticipate changes in the balance of supply and demand and take proactive measures to avoid a situation that would make the consumer nervous and anxious", said the saudi minister Khaled al-Falih, who chairs the ministerial monitoring committee of the agreement (JMMC). In August, the cartel said, OPEC's oil production was 600,000 bpd less than the amount agreed to in November 2016, with Iranian production down by 300,000 bpd since the start of the year, at 3.58 million bpd.
Russia Will Provide S-300 Air Defense to Syria
Israel has sent military officials to Moscow in an attempt to amend relations but so far to no avail. But the Russian military came out on Sunday, renewing the accusations against Israel.