FX.co ★ Trader's diary for April 02, 2020. Trump reconciles Russia and OPEC

Oil bounces upwards awaiting an OPEC-Russia agreement.

Trump became an intermediary for the Russia-OPEC deal, as the US oil industry was also in a difficult position due to a huge drop in oil prices. Trump said that due to falling prices, both Russia and Saudi Arabia are in a terrible situation (we add - and the US oil industry, too).

The question is whether the agreement will save the oil and will the price rise? According to various media reports, the market has a huge excess supply of oil with up to 20 million barrels. per day. Reduction in production is necessary in order for the market to stabilize.

We can assume that oil will remain below $30 until the crisis with coronavirus is overcome.