Volatile oil market

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Saudi Arabia's Prince Mohammed bin Salman AP 

Volatile oil market 

Analysis: Saudi solo play is reminiscent of the 80s  

 

The world's largest oil exporter, Saudi Arabia's unexpected weekend announcement to cut oil production by one million barrels a day reverberates around the world and raises the price of oil.  

 

Reuters' Clyde Russell believes it could be a sign that global demand is not as strong as analysts and the IEA would like it to be. "If demand really was as robust as predicted, the price of Brent could easily stay above $75 a barrel," he writes. 

 

Today's oil market is, according to Bloomberg's David Fickling, strikingly similar to that of the 80s: Moscow exports crude oil, the Fed pulls the handbrake while a technological shift is underway. "Saudi Arabia's attempts to manage these contradictions rarely end well," he writes.  

 

Martin Meissner / AP  

 

Volatile oil market 

After Saudi oil cut - spot prices rise  

 

Oil prices are rising after Saudi Arabia this weekend announced production cuts of one million barrels a day, international media reports.  

 

The spot price of Brent oil rose 2.1 percent to $77.71 per barrel. WTI rises by 4.6 percent and passes 73 dollars a barrel, write the Financial Times and FX Street.  

 

Saudi Arabia's decision, which takes effect in July, is, according to Reuters, the biggest cut in years.