OPEC delegates say comments from top exporter Saudi Arabia, which two years ago led the group to drop its historic role of supporting crude prices, are a change in tone and a sign the kingdom is looking - verbally for now - to prop up the market.
There are more signs that the fundamentals are changing for crude oil and natural gas. Not only has Saudi Arabia raised prices for its oil in a sign that they have confidence they can maintain market share, but natural gas had its best move all year last week.
Saudi Arabia aims to create the world's biggest sovereign wealth fund, a $2 trillion behemoth that can throw its weight around global markets, but the fund's growth abroad is likely to be slowed by its responsibility for aiding the economy at home.
All of a sudden, in a major about face, Goldman Sachs is now saying that the global crude oil market has gone back to a supply deficit for the first time in two years. Goldman Sachs, one of the biggest oil bears on the street, is starting to see some of the things I have been writing about for the past few months.
Saudi Arabia is close to securing a $10 billion, five-year bank loan, the government's first significant foreign borrowing for over a decade, as the world's top oil exporter seeks to fill a record budget gap caused by low crude prices.
President Obama is landing in Saudi Arabia to try to smooth over sour relations with America’s long-term ally, Saudi Arabia. While the crude oil market is selling off overnight on renewed concerns about China’s economy and the ending of the Kuwaiti oil strike, this meeting today may have more of a long term impact on the future of oil prices then some of these short term factors.
As the Doha, Qatar big crude oil summit approaches, there is more attention being paid to who is not coming than who will be there. Oil prices dipped after a report that the Iranian oil minister decided not to show up and will send in his B-Team this Sunday.