The Us Bureau of Labor Statistics will release monthly average hourly earnings, non-farm employment change (NFP), and unemployment rate on June 3, 15:30 MT time (GMT+3).
The OPEC Meeting May Push Oil to $150
What will happen?
The Organization of Petroleum Exporting Countries will hold a meeting on June 2. The representatives from 15 oil-rich countries discuss issues regarding energy markets and, most importantly, agree on how much oil they will produce. The meetings are closed to the press, but officials usually talk with reporters during the day. Also, an official statement that covers policy shifts and future goals is released after the meeting.
Why is it important?
The OPEC countries represent around 40% of the world’s oil supply and are unified in their oil production levels. With so much control over oil’s supply side, any shifts in their production levels can significantly impact prices. OPEC wants to be an “island of stability” and faces pressure to boost production. There is a chance OPEC will deny increasing oil output and push the prices higher.
The meeting happens twice a year, and the last one started an uptrend that led to a 99% soar in XBRUSD. If you opened a buy trade of 1 lot, you could have earned an immense $6500.
How to trade at the OPEC meeting?
If the organization decides to increase output, it may end the oil uptrend. Moreover, it’s unlikely the output will be lowered due to rising demand and supply concerns. On the other hand, OPEC stated several times that it struggles to increase oil production.
- If the outlook for oil production is positive, XBRUSD may fall.
- Otherwise, the oil may continue the uptrend.
Check the Economic Calendar.
Instruments to trade: XBRUSD, XTIUSD
This week started with the talk of the United States banning Russian oil exports, so XBR/USD saw $130 a barrel. Then the ban became reality. What does it really mean for the market?
US Energy Information Administration will reveal Crude oil inventories on February 9, 17:30 GMT+2.
The US Institute for Supply Management will release ISM manufacturing PMI on July 1, 17:00 GMT+3.
The United States Bureau of Economic Analysis will release monthly Personal Consumption Expenditures (PCE) on June 30, 15:30 GMT+3.
The governor of the Bank of England, Andrew Bailey, will hold a speech on June 29 at 15:30 MT time (GMT+3).