That would be a game-changer

Oil jumps, USD/CAD drops.

This sounds dubious but headlines are king at the moment.

I'm reading through the latest WSJ story on oil, Iran and Saudi Arabia and it definitely doesn't give the impression that Saudi Arabia and Gulf States are prepared to cut.


The market reacted to a Bloomberg characterisation or a WSJ story but the story itself is benign.

Here's the story.

This is basically all there is:

"Saudi Oil Minister Ali al-Naimi said on Tuesday that he would listen to OPEC members before deciding what to do. Saudi officials couldn't be reached for comment on Wednesday about Mr. Asali's remarks."

Update 2: A WSJ reporter's tweet is now cited as the source: "Saudis, Persian Gulf States Willing To Cut Oil Production If Iran, Iraq, Non-Opec Participate --Gulf Sources"

That last part is the kicker. Non-OPEC = non-starter.

The Bloomberg headline missed the important Iran, Iran part and also the absolutely critical 'non-OPEC' part here.

What a fiasco for oil headline traders today.