OPEC Targeting Crude Below $100

OPEC Targeting Crude Below $100
OPEC Targeting Crude Below $100

OPEC and its allies do not want crude prices to climb to $100 a barrel and are reviving production quickly enough to prevent global markets from “overheating”, Oman’s oil minister said.
OPEC and its allies, a 23-nation group led by Saudi Arabia and Russia, continue to restore output halted during the pandemic at a gradual pace of 400,000 barrels a day, though in practice its increases have been restricted by internal unrest and depressed budgets, Bloomberg reported. 
Crude prices have rallied this year, topping $80 a barrel in London.
“We are very careful at OPEC+; we will look at each month as we go,” Omani Oil Minister Mohammed Al Rumhi said in an interview in Riyadh. 
“But so far, I think 400,000 [barrels per day] is good because demand is increasing and we want to make sure that the market is not overheating. We do not want to see $100 a barrel. The world is not ready for that.”
Oil’s rally has alarmed many consuming nations as it stokes inflationary pressure that’s menacing the world’s economic recovery from the pandemic. 
Rumhi said part of the problem has been a crunch in global production capacity following a run of reduced spending.

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