Accordingly, the price of Brent oil futures fell 10 US cents, equivalent to 0.2%, to US $ 63.29 / barrel at 14:30 (Vietnam time). US light sweet crude oil price (WTI) fell 7 cents US (0.1%) to US $ 58.36 / barrel.

OPEC and other major non-bloc producers including Russia (also known as OPEC +) on December 5 agreed to reduce production further to prevent oversupply at the beginning of next year, when economic growth. still stalled due to the impact of the trade war between the US and China.

However, the agreement still needs to be formally approved at Friday’s meeting (December 6). If approved, OPEC + countries will cut output by another 500,000 bpd with stricter compliance requirements and a number of other adjustments.

OPEC + has cut oil production by 1.2 million bpd and this figure, after an additional 500,000 bpd, will account for 1.7% of global oil production.

But in a short notice to customers, financial advisory firm ING Economics noted that the important question here is whether the above output cuts will become a reality and help reduce the situation. oversupply in the first quarter of 2020 or not. Or OPEC + will only re-emphasize the excessive compliance that the market has recorded from all participating countries.

Observers also noted that any price increase that came from OPEC +’s production cut could benefit US oil producers who did not enter into any restrictive agreements. any supply. US energy companies have broken record oil production even when they cut the number of operating rigs, thereby "filling the gap" in the global supply that OPEC + plan created. .