dkishore
17-06-2008, 06:10 AM
The outcome of Saudi Arabian oil producers meet on June 22, will decide the fate of economies who are precariously poised as a result of surging crude prices. Equity analysts back home are expecting the oil producers to increase production in a bid to arrest the northbound crude.
Saudi Arabia’s invitation to producers to meet in Jeddah this weekend is in response to the growing protests from consumers over record oil prices that could threaten the health of the global economy. Analysts feel the move could encourage other OPEC (Organisation of the Petroleum Exporting Countries) countries to follow suit once Saudi hikes crude production.
“General market expectation is that Saudi Arabia will increase crude production by 5 lakh barrels per day. This will deflate crude prices to some extent. A dip in crude prices will surely have an impact on Indian market. If the hike happens, the market expects the Nifty to breach 4,900 levels next week
Saudi Arabia’s invitation to producers to meet in Jeddah this weekend is in response to the growing protests from consumers over record oil prices that could threaten the health of the global economy. Analysts feel the move could encourage other OPEC (Organisation of the Petroleum Exporting Countries) countries to follow suit once Saudi hikes crude production.
“General market expectation is that Saudi Arabia will increase crude production by 5 lakh barrels per day. This will deflate crude prices to some extent. A dip in crude prices will surely have an impact on Indian market. If the hike happens, the market expects the Nifty to breach 4,900 levels next week