During the past few days crude oil has been presented with plenty of reasons to resume the rally that stalled in recent weeks. Crude oil production in Venezuela, and especially exports to the US, are expected to drop in response to the growing political crisis and the US implementing new sanctions against its state-run oil company, PDVSA. Additional updates on the sanctions and its potential impact can be found here from Reuters
and S&P Global Platts
Adding to the support has been a pledge from Saudi’s oil minister Falih to make even deeper cuts
in February below the voluntary 10.3 million barrels/day production cap recently agreed with the Opec+ group of producers.