OPEC agreed that they needed to agree, and they agreed to try to reach agreement by November 30
The agreement has elicited a number of responses
- Goldman Sachs and CIBC responses here
- FT and Bloomberg here
More now.
UBS:
- Implementation date of output cuts, the duration of the cuts, and how cuts will be allocated between members remains unclear
Barclays
- Say the agreement is significant
- But OPEC is saying it will do what is planning to do anyway
Morgan Stanley:
- Reduction in output does not address oversupply situation immediately
- Might prompt market rebalancing in early 2017
Den Danske:
- Output ceiling below the current level of production is likely to prove difficult to implement in practice
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My earlier posts:
- OPEC production cut "deal" - what we know so far
- OPEC committee to report in November. Heads up, OPEC Nov. meeting is on the 30th
- The key takeaway from the OPEC 'deal'
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Meanwhile, WTI price has maintained its gains: