Crude oil futures are settling at $74.22. That is down $2.77 or -3.60%. The low price reached $73.98. That was the lowest level since February 8.
- OPEC extended supply cuts through the end of 2025 but plans to ease cuts starting October 2023.
- The 2.2 million BPD voluntary cuts will continue until September, with gradual reductions from October based on market conditions.
- Analysts expected cuts to extend through the end of 2023.
- OPEC’s supply is set to increase next year with the UAE adding more barrels.
Other news was slower ISM manufacturing growth.
On Friday, the US jobs report will be released. That will give the market more information on the state of the US economy. Most Fed officials feel employment remains solid but also moderating . The jobs report last week came in weaker than expected at 175K.This month is expected at 185k with the unemployment rate remaining steady at 3.9%. If the employment rate starts to move north of 4%, it could start to get attention. Employment can tend follow the leaders higher and lower. When companies start to add, it begets other adding. When companies start to cut, it begets other companies cutting. No one wants to be short of workers, or be the one with inflated payrolls.
This article was written by Greg Michalowski at www.forexlive.com.
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