Cut prices, Trump tells Opec (again)

london — US President Donald Trump resumed his criticism of the Opec, saying on Twitter that the group “must get prices down now!”

Trump’s fresh intervention in the oil market comes before a meeting of ministers from the Organisation of Petroleum Exporting Countries and its allies in Algeria on Sunday.

His complaint follows signals from Saudi Arabia that it was content to see prices climb above $80 a barrel. That’s been a red line for the White House in the past, provoking the president to direct his first social-media barb against the group since July 4.

Brent crude futures were 0.6 per cent lower in London, erasing an earlier gain of as much as 0.5 per cent to trade at $78.92 a barrel at 1:07pm local time.

Trump’s tweet makes sense “with oil prices close to the highs of the year,” said Giovanni Staunovo, commodity analyst at UBS Group. “Considering the upcoming Opec meeting in Algiers, he wants to keep pressure on the group ahead of the midterm elections.”

Prices dipped as low at $70 in London in August, but have since risen as American sanctions began to significantly curb Iran’s oil exports. While Saudi Arabia and Russia have recently boosted output to compensate, it’s unclear whether they’re willing or able to offset all the losses from Iran. —