Consensus forms behind rising crude prices
Saudi cuts and slowing US output add to improved demand outlook
Crude oil prices rose by c.14% in July, and a consensus seems to have formed among analysts and observers that prices are likely to continue to rise over the rest of the year. The July increase appeared largely a response to the latest round of cuts by OPEC+ countries, most notably Saudi Arabia, which implemented a new cut of 1m b/d effective from 1 July. Prices pulled back by about 2% on 2 August after ratings agency Fitch downgraded US debt from AAA to AA, but the ground was regained the day after when Saudi officials announced they would extend the 1m b/d cut to at least the end of September. Combined with an array of other market factors, Saudi Arabia’s renewed commitment appears to set
![](/images/white-fade.png)
Also in this section
26 July 2024
Oil majors play it safe amid unfavourable terms in latest oil and gas licensing bid rounds allowing Chinese low-ball moves
25 July 2024
Despite huge efforts by India’s government to accelerate crude production, India’s dependency shows no sign of easing
24 July 2024
Diesel and jet fuel supplies face a timebomb in just four years, and even gasoline may not be immune
23 July 2024
Rosneft’s Arctic megaproject is happening despite sanctions, a lack of foreign investment and OPEC+ restrictions. But it will take a long time for its colossal potential to be realised