Saudis tell OPEC June output jumped to 10.5 MMbopd

Saudis tell OPEC June output jumped to 10.5 MMbopd

Saudis tell OPEC June output jumped to 10.5 MMbopd

"You impose sanctions on major producers, founders of OPEC, and yet you are asking them to reduce the prices?".

At the same time, Trump wants countries around the world to stop buying Iranian crude oil - a key part of his decision to withdraw from the Iran nuclear deal and reimpose sanctions. Geopolitical strains, trade tensions and production declines from OPEC members have all pushed and pulled against the price of oil in recent sessions. The view of the two oil kingpins was one to behold, ushering in the new era in oil price "management".

US crude futures dropped 90 cents, or 1.2 percent, to $73.22 per barrel as of 11:18 a.m. EST (1518 GMT). "The responsibility of paying unnecessary prices for oil by all consumers of the whole world, especially in USA gas stations, is exclusively upon your (Trump's) shoulders and the price of over $100 per barrel is yet to come", Kazempour Ardebili said.

"This must be a two way street", he wrote, adding in block capitals, "REDUCE PRICING NOW!" On the US's official day of independence (July 4), the President repeated a threat that OPEC nations should lower their oil prices in return for the security support they receive from the US.

The U.S. Navy stands ready to ensure freedom of navigation and free flow of commerce, a spokesman for the U.S. military's Central Command said on Thursday. "Under these circumstances it is justified to argue for higher prices when production increases are announced", PVM Oil Associates strategist Tamas Varga said, CNBC reported. "The news of their commitment to ramp production quickly enough along with some evidence that Saudi Arabia is ramping production is giving the market some pause".

The Trump-Saudi campaign to calm oil markets will by tested severely in the coming months as sanctions bite deeper into Iran's exports, risking even higher crude prices.

"You are hammering on good guys in OPEC".

"When there is consolidation in the market, there is also the expectation of an eventual price breakout in either direction". High fuel prices drain money from consumers' pockets, hurting economic growth while adding to inflation.

U.S. West Texas Intermediate (WTI) futures were down 15 cents, or 0.2 percent, at $72.79. "All factors will push prices higher, but we're still waiting to gauge what level it will surge to with all the uncertainties".

Opec, together with a group of non-Opec producers led by Russian Federation, reduced output in 2017 to prop up the market.

Trump's tweet follows a Bloomberg earlier this week, which said that state oil company Saudi Aramco is aiming to boost production next month to about 10.8 million barrels per day, citing unnamed sources. But oil experts say that OPEC is already close to its maximum capacity. Exports averaged 2.34 million barrels a day last week and have a cumulative daily average for the year of 1.83 million barrels a day, a 142% increase over the year-ago export total.

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