Oil prices fell about 1% on Monday on concerns that the cutting of ties with Qatar by top crude exporter Saudi Arabia and other Arab states could hamper a global deal to reduce oil production. The news initially pushed Brent crude prices up as much as 1% as geopolitical fears rippled through the market. There are already doubts that the effort to curb production by almost 1.8 million bpd is seriously denting crude exports. While there was a dip in OPEC supplies between February and April, a report on Monday by Thomson Reuters Oil Research said OPEC shipments likely jumped to 25.18 million bpd in May, up over 1 million bpd from April. Brent futures have fallen more than 8% from their open on May 25, when OPEC opted to extend production cuts into 2018.

Source: Hindustan Times June 05, 2017 15:33 UTC