Commodity Daily News

Saudi Arabia in Focus after OPEC's Failure to Lift Production Targets

The price of Crude Oil ended yesterday much higher as traders largely began to anticipate a shortfall in supply in the coming months. A breakdown in talks between OPEC members in Vienna this week generated tension among oil speculators who were anticipating a rapid response to rising oil prices and global demand. The result has been a sudden climb in oil prices since Tuesday, reaching upwards of $102 a barrel as of this morning.


The sudden jump in the value of the US dollar yesterday should have helped halt this sudden rise in oil prices, but the force of global markets speculating a shortfall in production superceded this pressure. The OPEC spat, however, has made the investment environment around oil even less clear. Without some sign of production output agreement by OPEC, many are turning to Saudi Arabia for hints at a unilateral increase to sate global appetite. All eyes are on the Arabian oil giant ahead of this week's close.