Al-Falih says $60 is possible… WSJ

Saudi oil minister al-Kalih is talking, and is optimistic that $60 is attainable this year… Here is a key point for bulls:

“The minister’s words confirmed a decisive shift in policy by the Organization of the Petroleum Exporting Countries toward a return to market intervention—a role the oil cartel seemed to abandon two years ago when it refused to step in to prop up sinking prices.”

But an effective deal will be difficult:

“Significant questions remain over the deal, including how much each country will cut and when. OPEC members Iran, Libya and Nigeria—where there have been significant oil-production disruptions—are exempt from cutting output, further clouding the deal’s effectiveness.”

Here is the link:  http://www.wsj.com/articles/saudi-energy-minister-optimistic-on-oil-production-deal-1476086159

We may see some divergence in implied volatility as option buyers move out along the curve (January and back) to be alive for the next scheduled OPEC meeting (November 30th) and option sellers stay in December which expire before the meeting…

http://www.wsj.com/articles/saudi-energy-minister-optimistic-on-oil-production-deal-1476086159