“But they don't want to send the wrong signal to the market. They want to continue a loose supply policy, meaning that if there's a crude problem, which there isn't now, they can supply it.”
“They've been wrong the last two years about what the second quarter fundamentals are going to look like. Fundamentally speaking, it's probably not a good ideal to pre-empt the market.”
“OPEC wants the maximum price they can sustain to meet their budgetary needs and investment plans, and keep their economies growing, while making sure that demand in the rest of the world keeps growing. The Saudis have hinted they believe that price was now between $50 and $60 a barrel.”
“If demand continues to be strong we are going to be struggling. OPEC appears to be taking the view that the risks are weighted more to the upside than the downside.”
