"Petroleum price war" disturbs global markets, Shanghai crude oil futures hit limit

Sino-Singapore warp client on March 11th: Saudi Arabia and Russia "oil price war" disturbed the world. In terms of the domestic futures market, the main contract for the crude oil futures of the Shanghai Futures Exchange hit a limit. As of press time, the decline was 9.36% to 278.8 yuan / barrel.

Source: Wind

International crude oil futures also narrowed slightly. As of press time, NYMEX crude oil rose 1.25% to $ 34.79 / barrel; ICE cloth oil rose 1.93% to $ 37.94 / barrel.

Source: Wind

In addition, the "three barrels of oil" was adjusted by its rating and target price, reducing CNOOC's EPS forecast for this year by 14%; lowering PetroChina's EPS forecast for this year by 30%; lowering Sinopec's 2019-2021 earnings per share forecast to 36 %.

On the news, last Friday (6th), the two-day OPEC + meeting output reduction negotiations broke down, and Russia's cooperation with OPEC to reduce production from 2017 will exit the historical stage in March 2020.

Reuters reported that after the talks broke down, Saudi Arabia plans to increase oil production next month and said it would significantly reduce official oil prices. According to Reuters reports on the 11th, Saudi Arabia said that crude oil supplies to domestic and foreign customers in April will increase to a record high of 12.3 million barrels per day, which is about 2.6 million barrels per day higher than the current level. Russia also said it would increase production.

On Tuesday, international oil prices recovered part of their loss, partly due to Russian Energy Minister Novak said that Russia has not ruled out the possibility of joint operations with OPEC to stabilize the oil market. However, the current oil price of about $ 37 per barrel is still down 25% from the level before the consultations last Friday, and has fallen by more than 40% since January.

Reuters said that because most OPEC countries rely heavily on oil revenues, the plunge in oil prices has stretched national finances. Calculated on Monday's low of about 31 US dollars per barrel, it is estimated that OPEC oil producing countries have reduced their daily revenue by about 500 million US dollars. (Zhongxin Jingwei APP)