Oil price: production cuts failed to amplify the investor confidence
Oil price and production cuts On the seesaw of uncertainty, the speculators of the price crude oil and two of the major producers of the OPEC+, are, metaphorically speaking, trying to get their respective way to buckle the prevailing equilibrium of the oil markets on the fulcrum of sentiments - at least, according to one prominent member of the latter. With that ultimate goal in mind, Saudi Arabia, the world's top exporter of crude oil, announced this week that the voluntary production cut of 1 million barrels per day - bpd - announced for the month of July, would be extended for August as well. No sooner had the Saudis announced the decision of the kingdom than Russia jumped on the bandwagon; Russia announced it would cut the production of oil by 500,000 bpd as well. If the production cuts announced by the Saudis and Russia go ahead as they promised, the global oil output would drop by 1.5%. Since the sentiments always form a serious driving force behind the oscillation of the pr
