Oil prices surge

Oil prices posted record daily increases yesterday after US President Donald Trump teased the possibility of a truce in the Saudi-Russian price war and a dramatic cut in oil production.

Trump said production could decrease by as much as 15 million barrels per day, prompting Brent Crude prices to surge 47 percent before settling back down to about 30 dollars per barrel.

Foreign Policy’s Keith Johnson helps put the move in context, “There is no actual agreement to trim production among the three biggest oil producers — the United States, Saudi Arabia, and Russia — let alone the other members of OPEC or other countries, like Mexico or Brazil.

And it’s also unclear what Trump was even referring to in terms of production cuts — whether total barrels of oil or barrels per day or who might be making the cuts or why.”

Dmitry Peskov, a Russian government spokesman, said no such deal is currently on the table. — ForeignPolicy.

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