# Iranian Oil Squeeze Could Upset OPEC Agreement on Production Cuts

> Oil prices reached 3½-year highs in the week of May 11 as markets expected renewed US sanctions to squeeze Iranian supply and heighten regional tensions. A 2016 agreement between OPEC and non-OPEC producers, including Russia, had already cut global supply by about 2%. The Wall Street Journal reported that these pressures could disrupt the production-cut deal.

- Date: 2018-05-11 · published 2018-05-11T12:00:00.000Z
- Category: geopolitics · region Middle East · magnitude medium
- Page: https://feedsoft.ai/events/65182-iranian-oil-squeeze-could-upset-opec-agreement-on-production-cuts
- Commodities: [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md)

## Why it matters

Expected tightening of Iranian exports supports crude prices, raising energy and transport costs for feed producers. Higher oil also supports biofuel demand for corn and vegetable oils.

## Read by commodity

- WTI: bullish ▲
- BRENT: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2020-11-30 | [Opec agrees to extend existing oil production cuts: Abdelmadjid Attar](https://feedsoft.ai/events/50059-opec-agrees-to-extend-existing-oil-production-cuts-abdelmadjid-attar.md) | +1.5% | +4.3% |
| WTI | 2018-12-07 | [OPEC and non-OPEC nations agree on 1.2M barrel per day production cut - UPI.com](https://feedsoft.ai/events/61457-opec-and-non-opec-nations-agree-on-1-2m-barrel-per-day-production-cut-upi-com.md) | +2.2% | -6.2% |
| WTI | 2023-01-24 | [OPEC+ Set To Keep Oil Production Unchanged \| OilPrice.com](https://feedsoft.ai/events/37688-opec-set-to-keep-oil-production-unchanged-oilprice-com.md) | -4.5% | -6.6% |
| WTI | 2018-11-07 | [OPEC Considers 2019 Oil Production Cuts in Yet Another U-Turn - Bloomberg](https://feedsoft.ai/events/61949-opec-considers-2019-oil-production-cuts-in-yet-another-u-turn-bloomberg.md) | -10.5% | -15.0% |
| WTI | 2018-12-07 | [OPEC and Russia agree to slash oil production \| CNN Business](https://feedsoft.ai/events/61456-opec-and-russia-agree-to-slash-oil-production-cnn-business.md) | +2.2% | -6.2% |
| BRENT | 2020-11-30 | [Opec agrees to extend existing oil production cuts: Abdelmadjid Attar](https://feedsoft.ai/events/50059-opec-agrees-to-extend-existing-oil-production-cuts-abdelmadjid-attar.md) | +3.5% | +7.0% |
| BRENT | 2018-12-07 | [OPEC and non-OPEC nations agree on 1.2M barrel per day production cut - UPI.com](https://feedsoft.ai/events/61457-opec-and-non-opec-nations-agree-on-1-2m-barrel-per-day-production-cut-upi-com.md) | +2.2% | -2.9% |
| BRENT | 2023-01-24 | [OPEC+ Set To Keep Oil Production Unchanged \| OilPrice.com](https://feedsoft.ai/events/37688-opec-set-to-keep-oil-production-unchanged-oilprice-com.md) | -3.4% | -5.7% |

## Sources

- wsj.com: https://www.wsj.com/articles/iranian-oil-squeeze-could-upset-opec-agreement-on-production-cuts-1526031007

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.