The "visible hand" intervention continues unabated

Under the control of the “visible hand” of the Organization of the Petroleum Exporting Countries (OPEC), international oil prices will show a volatile upward trend in 2021 as a whole

Although the crude oil market is truly a global market, OPEC has always been the "visible hand" of the market since its establishment

Global oil demand will continue to recover significantly in 2021, and oil-producing countries are trying to reduce oil inventories.

Oil-producing countries such as OPEC and Russia, which are deliberately cautious in their production policies, did not increase their supply.

As the economic recovery is threatened and the United States and other countries face domestic political pressure due to high inflation, the United States united with multiple major oil-consuming countries to jointly release crude oil reserves on November 23, and then Omi Keron mutated.

Looking ahead to 2022, global oil demand is expected to reach the level of 2019, but the increase in demand will be significantly smaller than the level in 2021.

The December oil market report issued by the International Energy Agency stated that crude oil production in the United States, Canada, and Brazil looks set to reach historical highs, and crude oil production from countries other than OPEC and production reduction partners may increase by 1.

OPEC predicted in its December oil market report that global oil demand is expected to grow by 5.

　　This means that the global oil supply and demand in 2022 will have a large range of fluctuations.
As a "tangible hand", OPEC will still adjust the supply of crude oil through production reduction agreements and monthly meetings throughout 2022.
The US federal government previously It also indicated that it can release strategic crude oil reserves if necessary
.
(Liu Yanan)

Reposted from: Economic Information Daily