# OPEC Agreement Raises Hope, Skepticism

> Industry analysts reacted to OPEC's six-month agreement to cut about 1.2 million bpd, with Wood Mackenzie saying it is significant and forecasting crude averaging $55-60 in 2017. Quotas include Saudi Arabia at about 10 million bpd, Iraq cutting 210,000 bpd, the UAE 139,000 bpd and Kuwait 131,000 bpd. Iran was allowed a slight increase.

- Date: 2017-02-01 · published 2017-02-01T12:00:00.000Z
- Category: policy · region Global · magnitude medium
- Page: https://feedsoft.ai/events/72413-opec-agreement-raises-hope-skepticism
- Commodities: [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

Quota-based cuts of this size underpin a higher crude price outlook, which supports biofuel feedstock demand and raises energy and fertilizer costs for feed producers. Compliance uncertainty remains the key risk to that outlook.

## Read by commodity

- WTI: bullish ▲
- BRENT: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| BRENT | 2023-02-01 | [OPEC+ agrees to stick to current production scheme](https://feedsoft.ai/events/37223-opec-agrees-to-stick-to-current-production-scheme.md) | -0.8% | -0.5% |
| BRENT | 2019-01-18 | [OPEC publishes oil production cuts by Vienna agreement states  ABC.AZ](https://feedsoft.ai/events/60999-opec-publishes-oil-production-cuts-by-vienna-agreement-states-abc-az.md) | +1.0% | +6.2% |
| BRENT | 2023-04-02 | [Goldman Sachs raises Brent oil price forecasts after OPEC+ output cuts](https://feedsoft.ai/events/7952-goldman-sachs-raises-brent-oil-price-forecasts-after-opec-output-cuts.md) | +7.4% | +1.0% |
| BRENT | 2016-11-30 | [OPEC reaches agreement to cut oil production to 32.5 million barrels a day: Oil ministers](https://feedsoft.ai/events/8568-opec-reaches-agreement-to-cut-oil-production-to-32-5-million-barrels-a-day-oil.md) | +16.7% | +22.1% |
| BRENT | 2022-10-01 | [OPEC Raises Oil Production To Highest Level In Years](https://feedsoft.ai/events/39753-opec-raises-oil-production-to-highest-level-in-years.md) | +11.3% | +7.7% |
| WTI | 2023-02-01 | [OPEC+ agrees to stick to current production scheme](https://feedsoft.ai/events/37223-opec-agrees-to-stick-to-current-production-scheme.md) | -2.2% | -1.7% |
| WTI | 2018-06-22 | [WTI keeps rising and hits $69.00 after OPEC agreement - Forex Crunch](https://feedsoft.ai/events/11576-wti-keeps-rising-and-hits-69-00-after-opec-agreement-forex-crunch.md) | +11.9% | +7.2% |
| WTI | 2019-01-18 | [OPEC publishes oil production cuts by Vienna agreement states  ABC.AZ](https://feedsoft.ai/events/60999-opec-publishes-oil-production-cuts-by-vienna-agreement-states-abc-az.md) | +2.1% | +4.8% |

## Sources

- aapg.org: https://www.aapg.org/news-and-media/explorer/opec-agreement-raises-hope-skepticism/

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