The new OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Minas (Indonesia), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).
Meanwhile CNBC reports that European markets dropped into negative territory after a positive open on Thursday as investors trod cautiously after a positive week so far for stocks.
The pan-European STOXX 600 was 0.57 percent lower in early morning trade with DAX, CAC40 and FTSE 100 all in negative territory.
European markets quickly shrugged off the rally in Asia where Japan’sNikkei 225 was up over 2 percent, though China’s Shanghai Composite and Shenzhen Composite were relatively weaker.
A rise in the price of Brent crude and West Texas Intermediary (WTI) oil futures had also given markets a short boost. The oil price rose after Iran said that it supports a production “ceiling” to stabilize prices, although it did not make a commitment to limit its production. Earlier this week, oil ministers from nations including Saudi Arabia and Venezuela met in Doha and agreed to freeze production at January levels.
“While this would appear to suggest that oil prices may well have found their base for now, thus prompting another sharp short covering rebound, this still stops well short of a commitment by Iran to follow suit in capping their production levels, as they look to finesse their return to the oil market, after an absence of many years,” Michael Hewson, chief market analyst at CMC Markets, wrote in a note on Thursday.