MNI: US NOV FINAL MANUF PMI 49.7 (FLASH 48.8); OCT 48.5

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

MNI: UK NOV FINAL MANUF PMI 48.0 (FLASH 48.6); OCT 49.9

MNI NBP WATCH: Another Policy Hold, Dovish Communications Tilt

MNI: PBOC Net Drains CNY216 Bln via OMO Monday

MNI: PBOC Sets Yuan Parity Lower At 7.1865 Mon; -1.50% Y/Y

EZ/UK T-Bill Calendar: Spain, Belgium, ESM Auction on Tuesday

EZ/UK Bond Supply Calendar: UK, Germany Auction on Tuesday

MNI: US OCT CONSTRUCT SPENDING +0.4%

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

OPEC Market Share Strategy Looks Unlikely: Platts

OIL

In the short term and unwinding in OPEC cuts and rising supply is unlikely to significantly push shale production down. Thus, things look more bearish for prices, Platts said.

  • “In 2014, OPEC went for a market share strategy to try and knock out shale, which didn’t work. With shale seeming resilient to lower prices and drillers boosting efficiency, its hard to see a scenario where OPEC can go after market share and oil prices will decline significantly,” Platts said in its Oil Markets Podcast.
  • Furthermore, it is not just the US, but Canada, Guyana, and even OPEC members such as Iran and Venezuela that are all trying to boost output, creating further challenges for a market share strategy.
  • Thus, it seems inevitable that there will be excess supply in the market despite the fact that OPEC+ will ramp up production and may squeeze some producers out.
Energy BulletsHomepagemarkets-real-timeBulletCommodities
Energy BulletsHomepagemarkets-real-timeBulletCommodities

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.