Saudi Arabia to continue to produce Brent at current level until end 2015

Brent fell by 4% yesterday but has risen to a good $48 per barrel again this morning. WTI initially suffered similar losses today because yesterday was a public holiday in the US, so no trading took place on the NYMEX. 

The news on the oil market has been negative for the most part over the past 24 hours, according to well-informed industry sources, Saudi Arabia plans to maintain its current production level of 10.2-10.3 million barrels per day until the end of the year. 

The world's largest oil exporter, Saudi Arabia cites strong global demand as its justification. In other words, it is continuing to pursue its strategy of defending market shares, and is thus preventing any reduction of the oversupply on the global oil market. 

"News that the supply of North Sea oil,  according to loading data and Reuters, is set to climb in October to its highest level in nearly two years is likewise weighing on prices", says Commerzbank.