IPE Brent crude futures strengthened around 30 cts/bbl in early business Monday after OPEC's decision late last week to cut production, but dealers said they did not expect the gains to last.
"I think it's probably not enough," said an IPE floor
broker to Platts.
"More important than OPEC is the downturn in the US and
Japan," he added.
OPEC's decision Mar 17 to cut output by 1-mil b/d to 24.201-mil b/d effective Apr 1 had been discounted by the futures markets well ahead of the OPEC meeting, reported Platts.
Although last week a cut of 1.5-mil b/d had been briefly mooted, the end result was expected to provide only limited support to global
May IPE Brent last traded 30 cts higher at $25.35 on the ETS electronic system, ahead of the 1002 GMT start of open outcry trading.
(at 1211 GMT):
IPE May Brent
Last $25.25 High $25.40 Low $25.15 Change up 20c.
IPE April gas oil
Last $210.75 High $213.75 Low $209.75 Change dn $3.00.
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