Saudi Aramco attracts $38bn in orders from institutional investors

OPEC oil output dips in November ahead of Aramco IPO Dec. policy meet

OPEC oil output dips in November ahead of Aramco IPO Dec. policy meet

"At the open, prices remain supported by the surprising resilient China factory activity with the forward-looking PMI's beating expectations", said Stephen Innes, chief Asia market strategist at AxiTrader.

Another two sources added: "The latest OPEC analysis, drawn up by OPEC's Economic Commission Board (ECB), showed a large oversupply and build-up in inventories in the first half of 2020, if not additional cuts were made".

In point of fact, back in the December of January, following a two-day-long tentative meet, OPEC members alongside Russia-led allies had agreed to an output curb of 1.2 million barrels per day, an accord which is widely anticipated to extend up to June 30th, 2020.

Brent futures rose 19 cents, or 0.3 percent, to $61.11 a barrel by 0218 GMT, after gaining 0.7 percent on Monday.

On Friday, WTI futures settled 5.1% lower while Brent plunged 4.4% on concerns that talks to end the trade war between the United States and China, the world's two biggest oil users, would be disrupted by USA support for protesters in Hong Kong.

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The much-delayed initial public offering, first announced in 2016, is a cornerstone of Saudi Crown Prince Mohammed bin Salman's ambitious plan to diversify the Gulf state's oil-reliant economy.

Riyadh needs high oil prices to balance its budget and support the pricing for the Aramco initial public offering (IPO), which could be the world's biggest.

OPEC meets on Thursday in Vienna, with the meeting with its external partners scheduled for Friday. The OPEC+ grouping holds talks on Dec.6.

It is not certain OPEC+ will agree this week to deepen its curbs. It had committed to produce 11.19 million bpd, but this month, like most of the year, it produced more, with the average for November 1-26 at 11.24 million bpd, according to official data. A price rise can hurt OPEC and its allies because it bolsters US production and allows USA shale oil producers to grab a bigger market share.

OPEC and its partners will discuss the possibility of adding another 400,000 bpd to its oil production cut during this week's meeting, Iraq's Oil Minister Thamer al-Ghadban told a local media outlet. Foreign investors who usually have to undergo lots of processes before investing have found to be financed in Saudi Aramco by this IPO.

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