The International Energy Agency (IEA) has reported that oil markets are set to face a supply deficit for the duration of this year due to ongoing production cuts by the Organization of the Petroleum Exporting Countries (OPEC) and its allies, collectively known as OPEC+.
U.S. crude oil prices rose above $80 a barrel on Tuesday for the first time since November. This surge comes ahead of an important decision by OPEC+ on whether to push ahead with plans to increase output.
Concerns over Red Sea Attacks
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The United States has recently expressed concern over the safety of ships navigating the Red Sea due to increased threats posed by the Houthi rebels in Yemen. In response, the US has issued a stern warning, emphasizing the potential consequences of any attacks on commercial vessels. Such actions would not only disrupt global trade but also endanger the lives of innocent civilians and harm the stability of the region.
Angola, one of Africa’s top oil producers, has recently announced its decision to withdraw from the Organization of the Petroleum Exporting Countries (OPEC). This unexpected move by the Angolan government has had an immediate impact on global oil prices, causing them to slip.
*Transition: However, recent developments in the global oil market have raised concerns over OPEC’s influence and Saudi Arabia’s control over oil prices.*
