More than expected production cuts did not boost the market, oil price adjustment or pause

On June 12 and at 24:00 on June 13, a new round of price adjustment windows for domestic refined oil products will open. The agency predicts that this round of price adjustment is likely to be stranded.

During this round of pricing cycle, international crude oil volatility has intensified, and U.S. oil once fell below $70. With the agreement on production reduction, the futures market stabilized and rebounded. At a meeting earlier this month, OPEC+ reached an agreement to extend oil production cuts until 2024.

Meanwhile, Saudi Arabia’s energy ministry said the kingdom would cut production from about 10 million bpd to 9 million bpd in July, the biggest drop in years.