Opec concerned over surging US oil output

After hitting a lowest of $35 a barrel in 2016, the crude oil prices notched $70 per barrel last month.

The oil prices have been rising to normal after years of gloom, with global markets recovering coupled with a deal among producers to throttle output.
 
However, growing shale production in the United States could play a spoilsport, a concerned Opec said.
 
After hitting a lowest of $35 a barrel in 2016, the crude oil prices notched $70 per barrel last month.
 
As per a monthly report by Opec, strong economic data from strong economies, especially from the US and Germany, and geopolitical tensions in the Middle East have helped support price rise.
 
However, for the cartel "surging US production remained a concern".
 
Russia made a deal in 2016 to cut its output by 300,000 barrels to help surge oil demand across the globe. 
 
Russsia said it will not abandon a deal with OPEC to keep a lid on oil supplies, even as crude prices rise.
 
Meanwhile, United States has launched a $1.5 trillion plan to modernise the country's infrastructure development including $200 billion in federal funding.
 
President Donald Trump has termed it a most comprehensive infrastructure bill in the history of the US.
 
Source: ET, Media reports

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