OPEC + reduction of production scale, international oil prices fluctuate

The Organization of the Petroleum Exporting Countries (OPEC) recently announced that it will reduce the scale of production, but the market's concerns about demand have not been relieved, and international oil prices have only fluctuated slightly. As of the close on the 17th, the price of light crude oil futures for August delivery on the New York Mercantile Exchange closed at US$40.59 per barrel, a weekly increase of 0.10%. The London Brent crude oil futures price for September delivery closed at US$43.14 per barrel, a weekly drop of 0.23%.

　　 On the 15th, OPEC announced that it would reduce production to 7.7 million barrels per day from August with non-OPEC oil-producing countries. Saudi Energy Minister Abdul Aziz bin Salman said that as many countries need to compensate for previous production cuts, OPEC+ will reduce actual crude oil production in August and September this year by approximately 8.1 million to 830. Million barrels, higher than the nominal 7.7 million barrels specified in the second phase of the agreement.

　　Analysts believe that the scale of production cuts is in line with market expectations. Given the rebound in global crude oil demand, a moderate increase in production will help maintain the dynamic balance of supply and demand. Therefore, oil prices have not fluctuated sharply after the news was announced. However, experts and analysis institutions generally believe that, given that the global epidemic has not been effectively controlled, any signs of resumption of lockdown measures or further collapse of global growth may trigger demand concerns. Crude oil prices will not see significant changes in the near future, and are expected to continue to fluctuate within a narrow range, maintaining at the level of US$40-50 per barrel.

On the 17th, the most actively traded August gold futures price on the New York Mercantile Exchange gold futures market closed at US$1810 per ounce, an increase of 0.45% that week; the price of silver futures for September delivery closed at US$19.764 per ounce, an increase of the week It was 3.73%; the platinum futures price for October delivery closed at 849.6 US dollars per ounce, an increase of 0.44% that week.