OPEC Extends Output Cuts

1 December, 2017

On Thursday, OPEC (Organization of Petroleum Exporters) and non-OPEC producers led by Russia agreed to keep output cuts until the end of 2018. However, they also agreed to a possible early end of the agreement if the market overheats. The markets had already “priced-in” the extension of the agreement past its previous March 2018 end. The agreement is to cut 1.8 million barrels a day from the market to reduce supply and therefore keep prices relatively strong. Saudi Arabia’s oil minister Khalid al-Falih stated “it was premature to talk about exiting the cuts at least for a couple of quarters as the world was entering a season of low winter demand” adding “OPEC would examine progress at its next regular meeting in June”. Oil has now extended its longest streak of monthly gains since early 2016.

In the US, the chances of passage of a Senate tax bill improved with the endorsement of Senator John McCain. McCain backed the tax bill commenting that whilst it was “far from perfect” it would boost the economy and help all Americans. The Republicans have 52 votes in the 100-member Senate, enough to secure the bill passes if they stick together. With Democrats not backing the bill, the Republicans can’t lose more than 2 of their own votes. The Senate will convene at 15:00 GMT on Friday to continue the debate on taxes. Although Republicans are optimistic, party leaders still do not have firm commitments from enough senators to ensure the bill will pass. The main focus has been how to offset the deficit the bill would create with many Senators, including Republicans, expressing concerns about how to tackle the increased debt. An analysis suggests the Senate bill would increase federal deficits by $1 trillion over a decade.

Reports coming out of Germany are suggesting that Chancellor Merkel’s conservative party held talks late on Thursday with the Social Democratic Party (SPD). The hope is that the talks could lead to the formation of a coalition government in a bid to end the country’s current political impasse. Details of the talks were yet to be revealed as of early Friday.


Source link  
Cautious mood has returned to stocks

American markets ended trading on Wednesday with a slight increase. Asian bourses also experienced growth at the opening, but it was quickly...

Emerging markets rebound seems over

Asian markets have turned to a decline with a renewed force. After the rebound of last week, the index MSCI Asia ex Japan loses 1.2% and is only...

Rebound in Asian markets intensifies

On Friday morning, the demand for risks on the Asian bourses continues to recover. MSCI for Asia ex Japan is adding more than 1.2% this morning, having...


Reasons to rebound EM indices

Asian markets are adding after reaching 14-month lows the day before. Positive markets are supported by the reports about China's invitation to trade...

Strong data supports U.S. markets

Stocks of the Emerging Markets remain under pressure on Wednesday morning, with positive sentiments prevailing in American markets following...

Pound press dollar on news about Brexit

Michael Barnier, the EU's top negotiator on Brexit, called a reaching of the agreement on the deal within next 6-8 weeks realistic. This news supported...


Brent reversed from resistance level

Brent Crude Oil recently reversed down sharply from the major, multi-month resistance level 79.50 (which has reversed the price multiple times from the...

EM Markets sale-off spreading to DM

The current weakness on the developing countries financial markets is the longest since 2008. The similarities go further than that: as well as 10 years ago...

The price for trade uncertainty

The markets are cautiously on buy for American stocks, and the dollar adds on fears that trade conflicts are seriously stifling the business sentiment...


In the past 24 hours Bitcoin has lost -2.86% and reached $6410.00773646. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has gained 0.6503% and is now at $1.1736. Start trading and making money on Forex today.

In the past 7 days Ethereum has gained 2.42% and is now at $215.356442949. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets90%
2FXTMFXTM88%
3HYCMHYCM87%
4Alfa-ForexAlfa-Forex86%
5FxProFxPro85%
6FIBO GroupFIBO Group84%
7OctaFXOctaFX83%
8HotForexHotForex82%
9FXCMFXCM79%
10AvaTradeAvaTrade77%
  


Share: