IEA Raises Doubt on Doha Oil Summit Impact

A deal to limit oil output, to be discussed in Doha this weekend, would have a limited impact, says the International Energy Agency (IEA).
Opec and non-Opec oil producers are due to discuss a deal that would freeze oil production at current levels.

If they agree on that freeze, rather than a cut in output, the impact on oil supplies “will be limited”, the IEA said in its monthly report.

Oil prices have plunged since mid-2014, as supply has run ahead of demand.
The IEA points out that Saudi Arabia and Russia are “already producing at near record rates” and that Iran has plans to raise production back to the levels seen before it was hit with sanctions.

Global stocks of oil have hit a record three billion barrels this year.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza