In Surprise, OPEC Plus Announces Cut in Oil Production

nytimes.com

10 points·eftychis··4 comments

Well, Saudi Arabia certainly isn't hiding anymore that it's not a friend of the west. They must feel pretty confident to make a move like this. On the other hand they already told Biden to shove it when he asked them to lower prices, so can't say this is much of a surprise. Probably want to make as much money the next 10 to 20 years while the world transitions to other energy sources.

All Saudi Arabia is doing to its production is what Biden promised to do to our oil production here, and has mostly delivered on.

None of most of his voters would have actually voted for him if they thought otherwise.

When Trump was in office he had to threaten the Saudi's to get them to cut back on oil production (due to Covid low demand and over production). They always seem to be doing the opposite of what the US needs.

We are at the point where Brent prices were at the levels of 2019. It's clear that this is not enough or acceptable. We have a market that is barely an oligopoly -- effectively functioning as a monopoly.

We (everyone outside of OPEC (and Russia) need to place more resources on alternatives.

The funny thing is the only country selling their oil at a steep discount is Russia (to China).

I am curious if this move is going to spawn again OPEC states leaving the monopolistic group so they can sell more -- eg Ecuador.

(https://en.m.wikipedia.org/wiki/OPEC#OPEC+)

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