Oil Prices, Stocks Jump As US Output Stays Flat, Inventories Plunge

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If sustained, that would indicate the biggest monthly output increase in more than a decade and suggests that Aramco has already raised output this month to a level that's higher than many in the market expected.

The main disagreement in the meeting was between some OPEC members wanting to increase the amount of oil while others member wanted the oil production to stay as it is.

He added that "There is no oil".

Indeed, analysts suggest there's a chance that oil exports from the country could drop to zero.

This is a significant rise from 10.03 million bpd in May.

On Friday, OPEC agreed to raise output from July by about 1 million barrels per day (bpd), after Saudi Arabia persuaded its rival Iran to cooperate.

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However, even if producers were to pump above their quotas and violate the deal, Zanganeh said collective exports would be limited because of surging summer demand in the Middle East requiring more barrels for domestic consumption at power plants in the region. Russian Federation is already exceeding its allocation but has limited further upside.

That would surpass the previous high of 10.72 million barrels a day in November 2016, illustrating its unprecedented response to the pressure U.S. President Donald Trump has put on OPEC to supply more oil. "One is that he thinks the regime will change in Iran within months".

"You have this problem of Venezuela, Angola and a few other producers that are unable to increase production. He will soon realize that he is mistaken". The U.S. official specifically cited India and China as countries that would have to stop accepting Iranian imports, though officials have not yet spoken with those countries.

In North America, an outage at Canada's Syncrude has locked in more than 300,000 bpd of production, and operator Suncor Energy (SU.TO) said it will probably last at least through July. In response, the USA crude price has risen to its highest level for more than a month and the advance looks set to persist. "Need to keep prices down!"

Stocks were also propelled upward by shares of consumer discretionary companies and by General Electric Co, whose shares rose 7.8 percent after the company said it would spin off its healthcare business and divest its stake in oil-services company Baker Hughes.

He said that "Generally, my point was that OPEC shouldn't give a positive signal to the United States and it didn't". During the meeting, it was made a decision to boost oil production, however, the volume was not specified. "He wants to say it's OPEC".

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