On Friday, the 7th of February 2020, both UK and US crude futures’ prices fell 1 per cent after Kremlin had told that it would be requiring more time to assess market outlook before agreeing to further production cuts proposed by other OPEC members led by the Kingdom of Saudi Arabia.
Besides, latest development on production cut from Kremlin came forth a couple of days after media headlines had revealed that the OPEC+ members might extend an ongoing output cut by 500,000 barrels per day to 2.6 million barrels of crude oil per day.
Nonetheless, following a two-day long emergency meet of OPEC+ members, it appeared that the crude oil exporting majors had failed to reach an accord on crude oil output despite a bleaker demand outlook amid a fast-spreading coronavirus epidemic in China.
Meanwhile, referring to a bearish crude oil futures’ outlook, president of Ritterbusch and Associates, Jim Ritterbusch wrote in a client note on Friday (February 7th), “Russia’s lack of commitment thus far to such a deal is providing one additional bearish element that is currently precluding the complex from sustaining price advances.
” Citing statistics, on Friday’s (February 7th) market wrap-up, UK crude futures’ prices shed 0.8 per cent to $54.47 per barrel, clocking a weekly drop of 6.3 per cent this week. Besides, the US West Texas Intermediate crude futures curbed out 1.2 per cent to settle down at $50.32 per barrel, posting a weekly decline of 2.4 per cent this week.