IEA: The Data Doesn’t Lie, OPEC Cut Preceded by Record November Output

iea

Despite the current surge in the crude oil market, one international organization hasn’t jumped on the OPEC congratulatory bandwagon for its efforts to curb production. Here’s why…

In the crucial time leading up to the production cut, OPEC’s output rose to a record 34.2 million barrels a day in November, according to the International Energy Agency’s monthly report issued on Tuesday. This reflects a whopping increase of nearly 300,000 barrels a day in comparison with October’s figures.

Traders positively responded to OPEC’s production cut by sending the crude oil futures market soaring to its highest settlement since July of 2015.

Data from the next few months will confirm whether it’s a shell game or if OPEC’s production deal will rebalance the crude oil futures market through elimination of the current supply.

 

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