OPEC’s decision to refrain from action had an immediate effect on crude oil prices. Prices sunk as it became clear Saudi Arabia is more concerned with losing markets share than the pressure low prices are putting on its cartel partners.
OPEC in its own “World Oil Outlook” reported that the demand for its oil in 2017 may hit only 28.2 million barrels per day, the lowest level since the year 2000 a time before the China economic explosion
Oil rallied further after the leaked Fed story. Apparently the Fed did not want the market thinking that rates were going up anytime soon so they dropped a dime to their buddy Jon Hilsenrath at the Wall Street Journal.
Russia relies on companies including Exxon Mobil Corp., BP Plc, Halliburton Co. and Schlumberger Ltd. for the latest technology and expertise it needs to develop an estimated $7.58 trillion in oil and natural gas resources that sprawl across nine time zones.