Saudi Arabia unilaterally reduces output, oil prices rise

Riyadh [Saudi Arabia], June 6: Oil prices in the morning session of June 5 in Asia soared after Saudi Arabia's decision to cut another 1 million barrels per day, despite the Organization of the Petroleum Exporting Countries (OPEC) and some partners, usually collectively known as the OPEC + group, agreed to keep output unchanged until the end of the year, according to CNBC.
Specifically, after the announcement to reduce production to 9 million b/d in July (from 10 million b/d in May), the price of Brent oil rose to $77.22/barrel, while the price of West Texas Intermediate oil also increased to 72.86 USD/barrel.
Meanwhile, the UAE is allowed to increase production at 200,000 bpd, while some other OPEC + members such as Nigeria and Angola are allowed to adjust production quotas.
From October 2022 to now, OPEC+ has cut 3.66 million barrels of oil per day, equivalent to 3.6% of global demand. This decision to cut is valid until the end of this year, but OPEC + agreed to extend it for 1 year.
Source: ThanhNien Newspaper