A significant proportion of OPEC members are expected to participate in the announced reduction of 1.7 million barrels of oil per day effective May 1st.  This had the effect of raising both Brent and WTI crude prices by approximately six percent.  The cut represents a one percent reduction in global oil supply and follows a two million barrel per day reduction in October.

Price of crude will be determined by demand and will be influenced by all sources including coal, natural gas, nuclear and renewables.

According to Reuters, the Organization for Economic Coal Operation and Development estimated that oil inventories in developed nations were approximately three percent below five-year average values but with relatively high inventories suggesting that prices will moderate especially as the northern hemisphere enters summer.

U.S. prices for fossil-derived products are updated weekly in the Commodities and Energy Report