Commodities

Oil Traders Are Daring to Defy Market Kingpin Saudi Arabia

  • Price reaction to OPEC+ output cuts becoming less pronounced
  • Market is closely watching for signs of a Chinese slowdown

Prince Abdulaziz bin Salman al-Saud in Riyadh, on June 11.

Photographer: Fayez Nureldine/AFP/Getty Images
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Oil traders are starting to ignore the most important person in the market. It could prove a risky gambit.

A week ago, Saudi Arabian Energy Minister Prince Abdulaziz bin Salman pledged to unilaterally cut the country’s July oil production to the lowest in over a decade, excluding Covid-19 era curtailments. He described the move as a “lollipop.”