Oil tumbles after Russian deputy PM says further output cuts unlikely

On May 26th, the new OPEC meeting was approaching, and the Saudi minister warned speculators to be careful, but the Russian deputy prime minister said that further production cuts were unlikely. The United States may start to replenish its war reserves after June, or purchase 3 million barrels as early as August. OPEC+ production reduction is still the biggest driver on the supply side. OPEC may have reduced exports. Russia’s seaborne exports are still at a high level, but the processing volume of refineries has declined. At present, oil prices are still a game between the prospect of a macro recession and OPEC+ production cuts. The expected peak season in the United States and OPEC’s actions to reduce exports have boosted oil prices in the short term, but a rebound in inflation may accelerate the recession. Crude oil is still expected to fluctuate and fall in the medium and long term.