Opec+ may have played its final card with voluntary crude cuts

The price action most likely reflects the market view that the Opec+ action is probably not enough to tighten the global supply-demand balance in the first quarter sufficiently to spark a rally. — Reuters

The additional crude output cuts by Opec+ should do two things, and neither of them are likely to please the group of oil exporters.

Firstly, the reduction of about 2.2 million barrels per day (bpd) for early next year should put to rest the idea that global demand growth for crude is strong.

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