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In the recently concluded 177th OPEC Conference in Vienna, Austria, OPEC and its allies struck a deal to cut production, with Saudi Arabia leading the way with a target reduction of 400,000 barrels per day for the first quarter of 2020.
Some sectors in the mainstream market believe that this cut may not be as ideal as initially thought, since OPEC + had been in a state of excessive production already this year, and yet no substantial decrease in output has been observed. In addition, whether this agreement can continue after March 2020 is still unknown.
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