the week begins with the Brent oil fell by more than 5% and in red bags on the barrel in the wake of the crisis. But then the European stock markets recovered almost all the losses: Milan midmorning yields only 0.4% (at the beginning of session was -1.8%) but it’s pretty much on the same given that the coupon presentation of Finecobank, Banca Mediolanum, Banco popular, Prysmian accounts for 0.32%. Halve the deficit even Paris (-0.6%), Frankfurt (-0.4%) and London (-0.6%). On the list of Milan continue sales on oil with Eni and Tenaris in red by 1.8% while among the positive headlines stand out Mps (+ 1.6%), Finmeccanica (+ 1.3%) and Soul (+1, 5%). Gradually they are shown in positive territory almost all banks with Intesa Sanpaolo which recovers 0.5%. Outside the main index is the best Bialetti
the chronicle of failure
the bad start then exorcised the markets comes after the stalemate – and therefore without an agreement to freeze the production of oil – producing countries of the summit in Doha, Qatar. The aim was to agree a reduction in production that serves to trace the lower and lower international oil prices. As it circulated on Sunday morning, before the match had turned a draft agreement which provided for the production freeze at January levels until next October. In the document it would also include the creation of a committee for the monitoring of compliance with the agreement. It would have to be a global agreement among OPEC countries – the organization of producer countries, starting with Saudi Arabia and Russia (and also Iran) – and non-OPEC countries. According to preliminary information filtered from the summit, OPEC producers have said to those non-OPEC must first find an agreement within the organization, possibly at the next meeting scheduled in June, and only after the organization of the countries manufacturers may invite other producers to join the agreement.
Why Tehran does not give up export
However, the agreement would have jumped to the difficulty of reconciling positions, particularly between Saudi Arabia and Iran. Tehran, which at the last minute did not send its delegation in the Gulf country, has just come out of a cycle of international sanctions linked to its nuclear program and does not intend to give up oil exports. Iran had officially made it clear that will not adhere to the plan for the stabilization of the oil price until he has recovered the level of production and export it had before the sanctions. Then any agreement, can not count on Iran.
In two years the price down by 60%
the 60% fall in the price of crude oil from June 2014 was caused by a part to a reduction in global demand due to the crisis, the other by a sharp rise in the so-called shale oil extraction, especially in the US. Exporting countries have therefore lost hundreds of billions of dollars. To compensate for the budget deficits have implemented austerity measures are now starting to generate social consequences. Not coincidentally coinciding with the OPEC meeting in Doha went on strike several thousand employees of the oil industry in Kuwait. The country’s fourth largest producer among OPEC countries, has reduced the salaries of those working in the sector. Of the protest here. That intention of the promoters should last until the target of the rise of wages. For its part, the public company of Kuwait Petroleum Corp (KPC) has assured to have the reserves to continue to supply the local market and clients abroad.
April 17, 2016 (modified April 18, 2016 | 11:36)
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