Saudi Arabia's Energy Minister Blames Speculators for Oil Price Drop, Potential 2M B/D Cut Extension into 2024

Saudi Arabia's energy minister stated that oil demand is healthy and blamed speculators for the recent drop in crude prices. There are increasing chances of Saudi Arabia extending a 1 million barrels per day oil cut, with some sources suggesting a potential increase to 2 million. The drop in oil prices is being attributed to speculators misinterpreting production cuts and export fluctuations. The International Energy Agency (IEA) forecasts that Saudi-Russia cuts will keep the oil market in a significant deficit through the year-end. Additionally, there are strong indications favoring an extension of the Saudi oil cut into 2024, as per Rapidan and a survey.