OPEC’s Yom Kippur Surprise Going Into Earnings Season
Profit forecasts have turned decisively downward, while inflation will likely prove more stubborn thanks to oil supply cuts. On the bright side: Bond and the Beatles.
Abdulaziz bin Salman, Saudi Arabia's energy minister, during a Bloomberg Television interview.
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For most people the Jewish annual Day of Atonement, or Yom Kippur, is best known for giving its name to the war in 1973 between Israel and a coalition of Arab nations led by Egypt and Syria. That conflict, which initially caught Israel by surprise, led to the Arab oil embargo and was a critical shock in the inflationary cycle that would vitiate the decade. So it’s not surprising that, coinciding with Yom Kippur observances this week, some see a parallel with the announcement by the OPEC+ group of oil exporters that they will cut oil production in a move designed to push up its price.