Plea for brining oil price down: India snubbed by Saudi Arabia

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OPEC+: Easing production cuts in October and non-compliance challenges of the members

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  Amidst the volatility in the Middle East and the evolving concerns over the health of the global economy as a whole, the ministers of the OPEC+, OPEC countries plus Russia, are facing the same old dilemma before their next meeting - restoring the production cuts as promised in October or maintaining the status-quo. The key members of the OPEC+ are no strangers to walking a tightrope, when it comes to the crude oil production - or cuts. The changing ground realities, however, are leaving the organization between the rock and the hard place, indeed. In theory, a significant cut in oil production naturally leads to an increase in the price of the commodity, perfectly in line with the very basic law of economics - the lower the supply, the greater the demand or vice versa - that by extension, leads to a hike in oil prices in proportion to the drop in supply. In the past few months, however, the pattern has been just impulsive rather than a reliable show of consistency. In short, the prod
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Crude Oil Markets: falling Chinese diesel consumption and Rising Russian Oil Exports

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  With the impact of the Middle Eastern volatility on crude oil prices having diminished, aside from minor spikes during occasional military flare-ups, long-term demand concerns now seem to be the primary driver of oil markets. Although the atmosphere in the Middle East is far from settled, the ground realities paint more of a picture of psychological confrontation than that of physical on the battlefield; both Israel and Iran along with its allies, are weighing the options, while the world watches who is going to blink first. As far as crude oil markets are concerned, meanwhile, two significant developments emerged this week: for instance, the Indian media reports that India bought $2.8 billion worth of crude oil from Russian in July alone; it is a far cry from India's position with regard to the Russian oil imports before February, 2022, when the war broke out between Russia and Ukraine; it was just less than 1% of India's total oil imports. India, the world's second larg
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Oil Prices: two-months' fall continues with no sign of abating!

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  The loss of crude oil prices shows no sign of abating for the second successive month, defying two major factors that in theory should reverse the trend; they are the volatility in the Middle East around Israel and the suspension of oil exports from two key Libyan ports, coupled with slow production, across the country due to a dispute between two rival political groups. As of 15:00 GMT on Wednesday, the prices of WTI and Brent were at $69.57 and $72.96 respectively. The price of LNG, liquified natural gas, however, was at $2.20, perhaps in light of the onset of the fall in the northern hemisphere. The latest manufacturing data from China, the world's second largest economy, meanwhile, partially accounts for the decline in oil prices; China's key indicator that reflects the manufacturing strength, manufacturing purchasing managers index, PMI,  fell again in August to 49.1, when the expected value was 49.5 for the same period. According to China's National Bureau of Statis
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