Easwaran Kanason

Co - founder of NrgEdge
Last Updated: June 24, 2017
1 view
Business Trends
image

Brent and WTI are in bear territory, having crashed 22% from the year's highs. You can call crude over-sold, you can put it down to technical and algorithmic trading. But you can't ignore the fact that it is more than just fickle, volatile sentiment this time: the OPEC/non-OPEC cuts may be removing up to 1.7 million b/d from the market, but the growth in US, Libyan and Nigerian output is putting more than 1.5 million b/d back, leaving net reduction at less than 200,000 b/d. OPEC and its non-OPEC collaborators are in a corner, but if the Saudi and Russian energy ministers stand behind their “whatever-it-takes” pledge of last month to rebalance the markets, the time has come to deepen the cuts. It won't be easy, but it is not impossible and a far more suitable option for OPEC than admitting defeat.

The writing is on the wall for OPEC: it needs to cut more.

Of course, the producer group could continue advising patience to the world for the elusive evidence of a decline in global oil inventories, as it has being doing for the past few months. But this week proved that no one is listening any more.

Crude’s clumpy cascade this week into bear market territory could be put down to algorithmic and technical selling, but for the purposes of this discussion, the mechanism behind the latest downward spiral is moot. OPEC needs to respond not to the crude traders’ seeming paranoia, but to the fact that its current quantum of cutbacks have been all but neutralised.

OECD oil stocks rose by an average of around 360,000 b/d over January-April according to International Energy Agency data and are expected to have remained stagnant through May.

US production has climbed by close to 600,000 b/d since the start of 2017 and Libya and Nigeria, OPEC members exempted from production cuts under the November 30 agreement, are boosting supply by a combined 600-700,000 b/d. Together, that more than wipes out the 1.16 million b/d pledged reduction in supply by the 11 OPEC members restraining output since January.

As a matter of principle, OPEC maintains a healthy disdain for short bursts of price volatility, no matter how large, as far as adjusting its supply policies is concerned. While that is understandable especially in the current situation for a group pursuing an inherently slow process of restoring equilibrium to a market that has been out of balance for three years, it is now time to heed the price signals.

OPEC has been written off several times in recent months, and the same body of sceptics now thinks it will fail to rise to the latest challenge. We maintain our view that the bloc has determination and commitment behind its new marketbalancing role under the Saudi leadership, and is unlikely to give up. And that means it has to respond.

oil market update market insight oil prices update oil market currents oil market news OPEC oil balance shale
3
2 0

Something interesting to share?
Join NrgEdge and create your own NrgBuzz today

Latest NrgBuzz

Funko Action Figures: Collectible Figurines

Funko Action Figuresare a popular collectible toy that is now being incorporated into the workplace to motivate employees. The action figures have been used as an alternative to the traditional desk calendar or as a prize for top performers. With this type of incentive, employers can expect their employees to feel more motivated and productive.


Many employers have found that Funko Action Figures are a great way to motivate their employees and provide incentives for high performance at work. Funko Action Figures are a popular collectible toy that is now incorporated into the workplace. These small collectibles are given to employees to motivate them. Funko figures were once only available at comic book stores, but now they are being used in offices for this purpose.


The company is called Zappos and they first introduced this idea back in 2009. They gave these figurines to their employees as a way of motivating and rewarding them for their hard work and dedication. Although it’s not very clear why the action figures themselves motivate people, we can see that it has been working well for Zappos as they have continued to use it since 2009. These soft-bodied vinyl figures, often called "Pop!" Figures were originally conceived by Mike Becker and founded by Alan Becker.


The Funko Pop! Action Figure is a line of collectible toys produced by the company Funko LLC. They are typically stylized vinyl figures depicting characters from various media and entertainment. First introduced to the public in 2005, the company was originally founded as a bobblehead company in 1998 and became popular through distribution at chain retailers such as Walmart and Target. The first wave of Funko Pops was based on Disney properties like Mickey Mouse as well as other popular culture icons such as Conan O’Brien and Catwoman.


Funko Action Figures are collectible figurines that often depict pop culture characters. They are often used in the office to motivate employees and provide a sense of community. Funko has established itself as a major player in the toy industry with its trademarked Pop! vinyl figures. This company is taking on new ventures like collecting by introducing Funko Action Figures, for example, Boba Fett from the Star Wars movies. This type of product is sometimes called a 'blind box' because you don't know which figure you're getting until you open it. The Boston-based company, BuzzFeed, has introduced this type of toy into their office to help with team building and morale. The employees at this company seem to have a lot of fun with them.


May, 25 2022
Asset Works - Fleet Management Software

Asset Works FleetFocus fleet management software is a powerful solution designed to help asset- and infrastructure-intensive organizations control costs and streamline operations. By tracking vehicle location and maintenance history, fleet managers can extend the useful life of their fleet and prevent costly downtime. With preventive maintenance scheduling, work order and labor tracking, and parts and inventory tracking, FleetFocus helps fleet managers maximize efficiency while minimizing expenses. As a result, Asset Works fleet management solutions deliver industry-leading value for fleet managers around the world.

Support: [email protected]


May, 24 2022
Where to buy your Gun Parts from?

It is important to know where to gun parts from. There are many places you can buy them from, but it is important to choose the right place so that you get the best quality and service. There are many places where you can buy gun parts from. You can buy them from gun stores, online retailers, and even at a flea market.



One of the best places to buy gun parts from is Always Armed.They have a wide range of products available, they offer great customer service, and they have convenient shipping options.



Buying gun parts can be a difficult task. There are many different types of firearms and there is a huge variety of gun parts. The right place to buy gun parts depends on what you are looking for and what kind of firearm you have.



If you are looking for a specific part, then your best bet is to search online. You can find the part that you need at an affordable price and it will be delivered right to your door. If you want to save time, then this is the best option for you. If not, then your local gun store might be the best option for you because they have many different types of firearms as well as all kinds of other equipment that might come in handy for hunting or shooting sports.



When it comes to buying gun parts, you need to be very careful. There are a lot of scams out there and some companies just want to take your money and never send you the goods. 

May, 20 2022