Lost in space

摘要

Markets lost their sense of direction as they tried to make sense of news concerning Opec cuts.Analysts and news agencies doubted Opec's resolve in the absence of an official statement.But oil buyers recognised that some Opec members are implementing real cuts.Nigerian cargo volumes have been reduced by 5pc since the beginning of October,and Saudi Arabia has started reducing November supply to some customers,mainly west of Suez.Atlantic basin benchmark dated BFO bounced around 57-60/bl before ending down just 100/bl at 57.86/bl on 12 October,while US benchmark WT1 fell by 1.90/bl to just above S58/bl.