Oil: Eyes on Saudi and Russia meet for production cuts - Rabobank

Michael Every, Head of Financial Markets at Rabobank, suggests that today we get to find out if the much-purported meeting between Saudi Arabia and Russia to sort out all our fundamental global economic problems talk about a cut in oil production will amount to much.

Key Quotes

“Given the two countries’ economies have been smashed by low oil prices, the incentive to act is clear; but given the two are close to open conflict in Syria, would it really be in their best interests to give the other more oil revenue with which to fund military action?

We shall see, but I’s suggest that the meeting, if it goes ahead, is more likely to a sour note rather than any note of harmony. (But of course that’s just my view: the market knows best with its efficient price discovery system, which has seen oil zooming around like a rapidly deflating balloon.)”