# OPEC in first joint oil cut with Russia since 2001, Saudis take 'big hit'

> Brent crude futures settled up nearly 9 percent after OPEC agreed to its first joint oil cut with Russia since 2001. Saudi Arabia accepted a significant concession by dropping its demand that Iran also cut output. Prices eased slightly in early Asian trading on concerns that other producers, especially US shale drillers, could fill the gap.

- Date: 2016-12-01 · published 2016-12-01T12:00:00.000Z
- Category: policy · region Global · magnitude high
- Page: https://feedsoft.ai/events/9700-opec-in-first-joint-oil-cut-with-russia-since-2001-saudis-take-big-hit
- Commodities: [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

The cut removes crude supply from the market, supporting energy prices, while expected shale output growth limits how far the rally can extend.

## Read by commodity

- WTI: bullish ▲
- BRENT: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| BRENT | 2016-12-01 | 1 | +9.0% | 3.6 | Reports that Brent settled up nearly 9% on OPEC's first joint cut with Russia since 2001 match the size of the move and point to a supply-reduction mechanism. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| BRENT | 2016-12-01 | [OPEC reaches first deal to cut oil output since 2008](https://feedsoft.ai/events/9701-opec-reaches-first-deal-to-cut-oil-output-since-2008.md) | +6.6% | +12.9% |
| BRENT | 2016-12-10 | [OPEC, non-OPEC agree first global oil pact since 2001](https://feedsoft.ai/events/73369-opec-non-opec-agree-first-global-oil-pact-since-2001.md) | +2.7% | +0.3% |
| BRENT | 2019-01-04 | [Oil set for biggest weekly gain since 2016 on Saudi supply cut](https://feedsoft.ai/events/10833-oil-set-for-biggest-weekly-gain-since-2016-on-saudi-supply-cut.md) | +11.9% | +13.9% |
| BRENT | 2019-07-02 | [OPEC, Russia Agree To Extend Oil Output Cuts Into 2020](https://feedsoft.ai/events/58009-opec-russia-agree-to-extend-oil-output-cuts-into-2020.md) | -0.9% | -3.2% |
| BRENT | 2023-06-04 | [Saudi pledges big oil cuts in July as OPEC+ extends deal into 2024](https://feedsoft.ai/events/35396-saudi-pledges-big-oil-cuts-in-july-as-opec-extends-deal-into-2024.md) | -1.7% | -1.8% |
| WTI | 2016-12-01 | [OPEC reaches first deal to cut oil output since 2008](https://feedsoft.ai/events/9701-opec-reaches-first-deal-to-cut-oil-output-since-2008.md) | +0.8% | +8.8% |
| WTI | 2016-12-10 | [OPEC, non-OPEC agree first global oil pact since 2001](https://feedsoft.ai/events/73369-opec-non-opec-agree-first-global-oil-pact-since-2001.md) | +0.8% | -1.3% |
| WTI | 2019-01-04 | [Oil set for biggest weekly gain since 2016 on Saudi supply cut](https://feedsoft.ai/events/10833-oil-set-for-biggest-weekly-gain-since-2016-on-saudi-supply-cut.md) | +11.7% | +14.6% |

## Sources

- reuters.com: https://www.reuters.com/article/business/opec-in-first-joint-oil-cut-with-russia-since-2001-saudis-take-big-hit-idUSKBN13P0J8/

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