in terms of the relationship with opec, non-opec, russia, saudi arabia, it is great.ve a great opportunity to understand better what is the problem with each one of the players. my conclusion would be, yes, we have to have our own politics, but you have to remember what i said. what we want is a stable price. do not like volatility. volatility has not happened almost two years. the prices have been around in the same areas. havepeople would like to 100. other people would like lower. what is very important is the producers who need the price and the consumers need a price that is sustainable for economies. we will come back to you in just a second. we just need to get to some pictures here as we are seeing carlos ghosn's lawyer speaking. that is carlos ghosn himself we are seeing. seeing -- he is saying in a statement he is innocent. a pre-recorded statement from carlos ghosn saying he is innocent. saying the accusations against him paint a picture of greed. that is what we are hearing from carlos ghosn. let us get back to the equatorial guinea oil minister. thank you

what does it mean for the future of opec?ia and uae promised donald trump will make an any gap that irani supply shortages mean. if you look at the combination of u.s. production boosted by this huge shale boom, along with saudi arabia and the uae, those three together already combined to equal opec's production. be looking at a changing of the guard in terms of global oil market leadership with a possible new new opec headed by donald trump himself. >> wow. >> wow. >> they're both really good. >> go ahead. >> i think, oh, gosh. i'm going to go with dan's. just because i like this whole concept of a new ne w opec. it use of the opec plus with russia and now this is a new concept. a lot of traders in the oil markets are being confounded by. >> that's a group to watch. dan, by this much i'm giving it to you today. congratulations as well. >> it was a really good chart. the whole oil story kind of too k over. >> great sports. thank you so much for coming on the program. china. opens up as with india this is bloomberg. ♪ >> i'm e

well have you heard of a federal agency called opec not opec opec most people have not but opec or the overseas private investment corporation is a u.s. federal agency that connects private and american linders with governments and developers in developing countries oh pick and its counterparts in canada and the e.u. they have just signed a memorandum of understanding here in washington now according to a statement put out by opec that mimo of understanding will enhance cooperation quote to advance shared development objectives and underscore the participants commitment to providing a robust alternative to unsustainable state led models in quote what so that's not very clear at all joining us now to help us explain and understand what opec is doing is hillary ford which the c.e.o. of strong work hillary glad you're here all right let's translate that to begin with what exactly does this agreement between opec and canada and the e.u. was initially do at this point and what it actually is in a nutshell to make it clear you're right certainly is an opec opaque what it is it's really that

we're doing great. >> reporter: the president's criticized opec before neither the white house nor opec added any context to that statement but it comes as gas prices have actually been rising sharply. 10% this week. more than 50% year-to-date and triple a actually said that's due to robust demands and tightening of sanctions on iran by the trump administration. guys >> kayla, quick follow-up on this the journal's been calling around they said the opec chief has not spoken to president trump and hasn't discussed lowering oil prices with the saudis despite what he said earlier doesn't look like oil is much off the lows on this, so we'll see. >> reporter: yeah, well, president trump has more than a dozen times actually tweeted directly at opec, suggesting that opec needs to make changes to output in order to lower prices so perhaps that's what he's referencing there, that he has publicly called on opec to make some changes but of course, the journal, they're saying that he hasn't spoken directly to the organization. >> all right, kayla, thank you very much. the president's economic advise

obviously, we are heading into the next opec meeting, and what was interesting about the announcement yesterday is that there was some reports that saudi arabia and the united arab emirates would look to make up for the losses from iran we haven't formally heard the same comments coming from the uae and saudi arabia i mean, the big question is how much of an impact are we actually looking at in terms of numbers, iranian exports, and how much spare capacity is left in the system to begin with? >> okay. great question when you look at the actual numbers here, it is hard togate get clarity on the specifics if you look at the likes of s&p global plats, for example, which follows the amount of crude coming out of iran, it says that in march it was still averaging about 1.7 million barrels per day. that's significantly higher, but the figures do range between -- up to 1.2 all the way up to 1.9. plat says 1.7. when you break it down and look at where that oil is actually going, plat also says that about 628,000 barrels per day are going to china on average that was in march. more than 357,00

all market is already very fragile and the last opec meeting. members consented to iran share of the quarto so i really doubt that they will go along with trams bulling opec and so on but you know we are really witnessing iraq war in a slow motion with the trump administration escalating the precious to the point that iranians will react and they will be a case ourselves for feeling prophecy and the us you know has this illusion of being in total control of the strait of hormuz and dictating terms to other war powers and we you know heard from china's reaction that they're not going to stand for that and i doubt that india which is in a fix right now will abide by the u.s. is you know bullying tactics as well so this is they're seeing you know emerging the stiff reaction by riot of country or some army ron's neighbors and i think that this pressure tactic will backfire. ok we'll listen to the thoughts of cover africa who is the author of several books on iran and international affairs thank you. journalist organizations have condemned french pol

. >>> oil prices are sitting at their highest level since november boosted by opec's supply cuts andions against venezuela and iran both wti and brent have rallied more than 20% since the beginning of the year. you can see there wti trading up 0.5% so far this morning let's get back to dan murphy who is at the middle east and gas conference in dubai. dan, you're with someone now who knows a little bit about energy prices what more can you share with us? >> absolutely. the outlook on energy prices are trending at 2019 highs pleased to say that joining us is dave durnsberger. welcome to the conversation. thanks for being here. wanted to get your reaction to the saudi commentary at an event in riyadh talking about the aramco offer saying demand here is north of $30 billion. is that necessarily a surprise, the appetite, we're seeing to the offering >> i think the appetite is not a surprise but what will be surprising is that we will be going ahead and going ahead as quickly as we're talking about the ipo talks about the state of talks of the brexit depending where the ipo happens all the

power is pretty limited the secretary general of opec spoke recently to syria meetings. and he was pointing out that opec is really seeking price stability more than trying to exercise any kind of. ballistic power and i think seeking that same sort of predictability on the buyer's side makes sense to. a buyers club seems to be the only answer to our pack which is essentially a big sellers cartel saudi arabia recently announced that they will not rush to the oil production to make up for iran's loss and that will they will instead stick to the global oil production. which could extend to the end of twenty nineteen they currently don't see any shortage in global all supply but opec supply right now has hit a four year low in april analysts are now speculating that saudi arabia isn't on board with raising well production how did the u.s. back itself into a corner here. the opec nations along with russia it's in their interest to try and stabilize the market to try and keep the prices where they need to be so many of these nations need that oil revenue to stabilize keep thei

from the opec deal. now quite naturally i should say there was no way other international geo political agenda could be ignored within the frameworks of the forum here vladimir putin has met with a lot of his counterparts with those whom you discussed so. problems is combating terrorism the situation in syria libya and so on and so forth so while he obviously did have his focus on energy economy and trade not a tool was it the only thing on his list lattimer putin even joked about how he manages to keep his show jewels so jam packed. that it is proceeded into the school clerk. to put you on that i bought it some would you describe it was funny. but you're sort of the. opposite of the so far. which the government will support. so here's the second belton road forum for you as china strives to become a platform for all sort of business of reporting from beijing r.t. . del world but deeper into this story the ramifications to be ties between the nations as well because we're told by. is the director of the

manus: we can see what opec and opec plus. do -- will do. rate roundup this tuesday morning.'s get your first word news with annabelle droulers and the team from hong kong. its chineseesla and competitor are looking into involving their vehicles. this is video of a car bursting into flames. a white sedan bearing the tesla logo was caught in knitting smoke before catching fire. a team from tesla has been sent to shanghai to look into the incident. house democrats have issued a subpoena to former white house counsel don mcgann. he was a key witness in robert mueller's investigation. it is the biggest move by lawmakers to mine's findings for evidence of whether president donald trump was not to obstruct justice. this comes as democrats remain divided over the next steps. the death toll in sri lanka has risen to 310. this as the government blames a local jihadist group for one of asia's deadliest terrorist attacks in years. it hit churches and luxury hotels on easter sunday. officials say it was carried out by seven suicide bombers who targeted tourists and christians. this marks

when from saudi arabia or any other opec members who were about to turn to withdraw from the opec deal. now quite naturally i should say there was no way other international geo political agenda could be ignored within the frameworks of the forum here vladimir putin has met with a lot of his counterparts with the whom he discussed such problems as combating terrorism the situation in syria libya and so on and so forth so while he obviously did have his focus on energy economy and trade not a tool was it the only thing on his list let him a putin even joked about how he manages to keep his share jewels so jam packed. but it is possible to school cook. to put you on that i bought it last summer and you just called it was funny. but you're sort of on the board of the so far. which the government will support. so here's the second belton road forum for you as china strives to become a platform for all sort of business i'm reporting from beijing r.t. . we heard from economist and financial analyst alexander khattab on what close ties between russia and china could mean for the global market

from the opec deal. now quite naturally i should say there was no way other international geo political agenda could be ignored within the frameworks of the forum here vladimir putin has met with a lot of his counterparts with those whom you. such problems as combating terrorism the situation in syria libya and so on and so forth so while he obviously did have his focus on energy economy and trade not a tool was it the only thing on his list of a lot of putin even joked about how he manages to keep his show jewels jampacked strong and a half hours six hours that's ok for me so here's the second belton road for him for you as china strives to become a platform for all sort of business and we've done of reporting from beijing r.t. . now in a bid to bottle the effects of poverty a district attorney in dallas county in texas will no longer prosecute the theft of essential items the cost less than seven hundred fifty dollars so long as the crime was not for economic gain criminalizing poverty is counterproduc

withdraw from the opec deal. now quite naturally i should say there was no way other international geo political agenda could be ignored within the frameworks of the forum here vladimir putin has met with a lot of his counterparts with those whom you discussed said. problems is combating terrorism the situation in syria libya and so on and so forth so while he obviously did have his focus on energy economy and trade not a tool was it the only thing on his list of all lattimer putin even joked about how he manages to keep his share jewels sold jampacked. and it is proceeding. fortunately a sort of attack on the right to speech on iraq what it. should serve on the right of the search for baseball interests very much support. so here's the second belton road forum for you as china strives to become a platform for all sort of business of reporting from beijing r.t. we had from economist and financial analyst alexander khattab on what closer ties between russia and china could mean for the global markets. are already

opec implemented these cuts in january. thatwere -- they have said they can boost supplies as much as 1.5 million barrels per day to make up for any shortfalls from iran. the u.s. is hoping to cut iranian exports from about 1.1 billion barrels. we will see the impact on the opec production cuts. i think it will be much more difficult for saudi arabia to maintain discipline and ask its members to maintain those production cuts, if they lose production to make up for shortfalls from iran. thank you so much. we have breaking news. resources planning to cut as much as 5% of its work to save at least 70 $5 million. not as the fund continues to see outflows. we know that they have $712 billion, as of march, when it comes to assets under management. sincetflows every year 2014. they are expected to report warnings -- earnings. share for the quarter. they still plan to cut as much as 5% of its workforce to save at least $75 million, as it continues to see outflows for the fund every year since 2014. says thatd, elon musk tesla has

so the question, does opec have to go back to the drawing board.t does saudi arabia >> what does saudi arabia do answer your own question how about this is there a perfect price for oil? because if there is where everybody is kind of happy, it is about 65 bucks. you can make a little money in the yipd, you can make a lot of money for saudi arabia you can make money around the world. >> the reason why i'm asking about the timing of this deal in particular, this isn't coming at 30 buck oil. it is not like we're back at the levels where there is so much excess capacity that the on him way to be economical is to have that -- >> when this deal crossed, ceo of chevron was on at 6:00 a.m. and first thing i thought, why are all the oil companies always buying when oil is going up. nobody does deals when oil is going down and i can understand the idea that you will increase discounted cash flow i suppose -- >> but isn't it capital availability who is willing to support a deal when oil prices are plunging >> we've just seen a lot of bad deals and i think tha

juliette: mike, i just wanted to ask in terms of opec, what's your view on the opec legislation and couldhreat to the stability of the oil market? mike: well, the opec legislation has been around in the u.s. for a long time and it never has really been able to get through congress and be signed by the president. it would change the dynamics, i think, in international markets and international relations as it removes certain sovereign immunities and could open up legal actions in the united states and retaliatory kind of actions around the world which has never really gone very far in the united states. i think it's always worth watching. politics are difficult to predict. even more difficult than oil prices. but it's an idea that's never really been able to get all the way through the u.s. system. juliette: all right. thank you very much for joining us. chevron chairman and c.e.o., mike wirth, from shanghai there. well, coming up, wealthy people in taipei don't usually make many rich lists but the city has quietly become one of the most prosperous in the world. how they have grown their f

spend by their commitments you lose under the opec plus deal. so what is going to happen to the global energy market i don't know. we didn't raise this issue when i talked to my chinese friends. interfax. mr president it was but experts keep talking like that about your decrease it is telling it on an expedited. citizenship for the people often done and it's going lugansk. experts one during calm much or russia will have to spend on this some say it's going to cost one hundred. billion rubles. does russia's you know budget have this much money. is it going to cause some financial difficulties he is it possible that people living in those territories will receive the. pensions from russia and from ukraine which simultaneously well we discuss sions on this subject. which. people just like to use this is a boogie men talk the talk about. the whole lives. it's going to burn in the russian budget i think it's just the political forces that you don't want to rush it to support people living in the dawn deaths that do that that's number one number two.

from saudi arabia or any other opec members that were about to intention to withdraw from the opec deal. but will quite naturally i should say other international geo political subjects couldn't agree in any way couldn't possibly be ignored at the conference after all in the past couple of days vladimir putin held lots of meetings with his counterparts from all over the world and during those missions and he also also talked about such things such problems as combating terrorism the situation in syria and situation in libya and so on and so forth so really very very comprehensive couple of days for vladimir putin he even sort of made a joke as to how he manages to keep his shades will so jam packed and he said that will during these days he slept for five or six hours well it's maybe it's not as funny when you hear it from me and. from the russian president but anyhow this is these are this is the second bolton road the economic forum for your as beijing strives to become the platform for all sorts of business. now asserted or euro igor thanks times for the air five and a half to six ho

stockpiles, and we are seeing -- trump is asking for opec to keep a lid on the prices, -- opec is maintainingt to maintain output. all right. dani, what have you got? dani: the three-month 10 year yield curve is no longer inverted, maybe we will not hear anybody talk about the yield curve anymore. function, i searched stories that mentioned yield curve. in the past week, this was the most mentions of yield curve since 2005. in terms, there is a coming recession -- i also put that on the bar. the last time that happened it took two years before the u.s. fell into a recession. maybe this chatter is just that, just talk. it is not a great indicator if we are going to be in a recession. matt: i have to give that to you, dani. i love those charts and to see what people are talking about. very interesting stuff. anytime someone talks about the yield curve, i tune in and listen as well. thank you very much for playing. you can see all of our charts on the bloomberg. surveillance" is up next. ♪ >> putting the brakes on brexit. theresa may confronts a long delay after parliament fails to decide. globa

president tell opec it should start raising output to soften the impact of his sanctions against iran. it's really strange first he creates a problem and then he expects to fight with it but saudi arabia is going to be cautious this time around they're not going to start pumping oil from day one because last time around they were became a victim to trump and. this actually started increasing the production and suddenly there were knowledge and the oil prices crashed and so was left to actually covering it losses so. it definitely this this time around as it was thank you very much for your analysis from frankfurt there. tourists continue to cancel their travel plans to sri lanka last week's attacks in colombo claims the lives of over three hundred people the island had enjoyed relative peace and a booming tourism sector since the end of its civil war decade ago but now sri lanka is tourism bureau chairman says he expects visits to the capital to fall by half in the next two months he also predicts that tourism in other areas of the country will drop substantially india china and the u

we have been driven by production cuts by opec and allies.been deployed largely since we 17. >> this time the impact has been -- in an exclusive interview, we have the aramco chairman who told bloomberg that whether the market still needs these cuts. the 1.2 million was based on certain other countries keeping their october level production, so i think we have to watch them, and you know who i am talking about. venezuela is still -- we need to find out what happened. hastions that the u.s. will be upovember for reconsideration by the administration. all these factors will impact the fundamentals. wasmately, the 1.2 balancing certain things for demand and supply. the longer we wait in the closer we are to june, the more informed our decision is. that is why we thought april was premature. certainly there was a desire by some not to make a decision in april and we acknowledged that this will probably be gun jumping, so to speak. so i think we will meet here in the kingdom in may, only a few weeks away. that will be close enough to june and i in

russia is not part of opec organization of oil exporters so for russia to have a stake in oil exports and in regulating the oil market which is very important for russia's economy it also needs venezuela as an ally so really huge huge big bucks at stake here for russia as well they're clear about who should win in moscow thank you. it's got another view from peter but he's a latin american foreign policy analyst at the free university here welcome to day doubly do you see today's events as more significant than previous anti-government riots and protests. of course and. we can be sure that there will be no stepping back to yesterday so this is in some way and gain because the stakes are very high for the a position now and all they really succeed in. making sure all leaving the presidency or they will end up in jail so but why is it higher today otherwise why is the stakes so high this time compared to all the other times because one guy though has openly been calling for a military uprising and before he talked about keeping it peaceful before he has been calling the majority to leav

so there we turn to you how much of the oil is trading at this rate of each day and other opec nations are they affected by that. here certainly seventeen to eighteen million barrels per day trades through the region and so that's about a third of the seaborne oil and it is a critical piece of geography and it always has been if you go back in time one thousand nine hundred to one nine hundred eighty eight during the iran iraq war you had what was called the tanker war that's what it was also known as the tanker war because each side was trying to control the geography and not allow the opposing forces tankers to get through so the price of oil is. very sensitive to the flows that come through there and as michael has said you could see dramatic impact pretty quickly if it was actually shut down it would impact saudi arabia it would impact the u.a.e. it would impact kuwait iraq so there is a number of countries that would have a lot at stake here in terms of revenue that would be cut off at least temporarily . some mycobacteria this entire complex right now is between basically the u.s

they are leading this opec delegation of allies.make sure these cuts they have in place stay until it is time to look at them again. if you look at the broader market, a lot of bullish signals in the short term. december contracts this year versus next year, the premium has widened. that's an indication that traders see the chance for more short-term gains in terms of price increases. one of the fascinating things about this is the question of how much leakage there is, how much in lockstep opec members are. it seems more true today than historically. what degree of control does saudi have over other opec members? are hearing people talk about whether the u.s. is now part of this opec alliance, given the recent actions. you have russia as a part of the group. they have been quite vocal saying, at the end of the year, they said they were not sure they wanted to do the cuts. they were broadened reluctantly. giving them in-line will be more difficult now, especially as the saudi's are proposing to increase output. the saudi's have been

and non-opec. most effective driver is the venezuelan sanctions along with additional extension of iranian waivers. russia is not doing what they said they would do in terms of hitting the mark in terms of their cuts, and i know you love a technical thomas nejra, we haven't blown through the 200 day moving average on wti. good morning. nejra: i do love a technical, manus, you are right. equities, global equities look to be building on the best start of the year since 2010. asian equities looking towards a fresh six-month high. s&p futures up a half percent, and we are back at 2.50 on the three-month 10 year. cable slightly on the front foot, up 1/10 of a percent, 1 31.43 as theresa may reaches out to jeremy corbyn for cross party talks. does it open the door to a softer brexit? that is the question. in terms of 10-year yields and equities, the picture is risk-on. but analysts say that positioning is still bearish, and the paying trade is to move higher cause people aren't news.ly position for good

, there were reports he had not spoken to anyone at the opec secretariat in vienna. sources told the wall street journal president trump did not talk to the opec secretary general or the saudi energy minister, talking about oil prices. sarah sanders said the white house is in regular contact with the oil producing nations. last week, white house officials met with a delegation from the saudi labor ministry. in washington, they discussed global oil markets, ensure global demand is met after all iranian oil is removed from the market. president trump began his day playing golf with shinzo abe. u.s. and japanese teams spent the past couple days trying to negotiate a bilateral trade deal. the u.s. wants japan to get rid of tariffs on american a agriculture products. japan wants to avoid tariffs on cars they export. in the oval office, president trump said the talks are going well and suggested an could be signed when he visits japan in may. >> we'll be discussing that. we'll be discussing very strongly agriculture, because as the prime minister knows, japan puts massive

it removed the emphasis for these major producers to extend the opec production cuts into the second half of the year. it's also very interesting to see what the united states is going to do next as well on iran analysts have been saying that perhaps this decision also means that the u.s. won't go ahead with a secondary wave of sanctions on venezuela that's going to be interesting to watch as well we've seen prices run up significantly hard on this, and as you pointed out as well, we have brent crude nearing 75 u.s. a barrel >> yesterday, dan, we had the president come out with a statement for the white house saying that, you know, while this is happening, don't worry we've talked to the saudis and talked to the uae. they are standing ready to make sure the global oil markets are well supplied, but you are there in abu dhabi in the uae. is there a sign that indeed they have enough oil, enough reserves, enough production ability to fill any global supply gap >> the uae is significant, brooirn. we know this is a major opec producer, and the abu dhabi national oil company in particular

and opec seem to be rising reports say the saudis are considering selling oil in non-u.s. currencies if they pass the bill to expose them to anti-trust suits head of commodities strategy, welcome. >> thank you >> you think we're going higher. >> if saudis are going on the production cuts and opec doesn't roll this thing over, i think likely higher, yes. >> the saudis are driving it, predominantly? >> this is a saudi story they were the ones last summer because president trump basically said i'm taking iranian barrels off the market a million extra barrels. they rolled it back and then some saudi arabia is 400,000 barrels below their opec massively reversed course on production and important, they have slashed exports to the united states in the most visible markets. they're sending no barrels out to the refinery in texas. >> how high will oil go? >> i mean, depends on how we think it plays out in terms of geopolitics but could we approach the number that president trump with the wti certainly if we stay the course, could be headed there. brent could be headed to 80 plus si

report has flagged a slow start to the year on global dough manned amid a continued fall in supply with opec plus output puts continue and sanctions take hold in venezuela. the group left the 2019 demand growth estimate unchanged, and at 1.4 million barrels her day and said first quarter oecb demand fell on the back of europe that the u.s. should lead a recovery now, crude has trader five-month highs this week, and currently i'll take you to the fresh price chart here currently trading around $64 that's down 77 basis points for brent. carolyn, i think you have more over at the desk >> absolutely. snoo i just wonder how much uncertainty is really attached to that given that we've seen the latest downgrade of the imf global growth and we're seeing very patchy signs when it comes to the u.s. economy, and you said in your report that the u.s. is going to lead the recovery who it comes to the oil markets. >> what we've said in our report, overall theme was mixed signals. what we meant by that is that we have knowledge that towards the end of last year and the very early part of this year there ha

is it a self-inflicted wound. >> is it >> i said that i think he's very effective as an opec cutter.e a situation where trump has helped opec compliance he's sanctioned iran and vends. >> but he wants low oil prices. >> height. it's not just the singling out the saudis have come out and he's done a 180 on libya he's saying very nice things about the march on tripoli. >> we didn't get to libya because this news, we probably would have led with libya -- >> right. >> -- had this news not come out. libya on the edge if not in already in a civil war what are you hearing about that? >> the administration is in a bit of a panic mode. you can sanction venezuela, you can sanction iran but it doesn't work if libya goes off now you have a situation where president trump has reversed course on the policy of libya. you're now backing the general that's marching on tripoli in the hopes he doesn't take the oil offline. i think we're really trying to ingratiate our self with the saudis >> is it going to work the president has been tough on them but at the same time. do you believe that saudi arabia

so much so they are calling it opec plus. the plus sign, russia. blake burman is at the white house. blake, do you get any sense that washington is worried about russia now becoming sort of the decider or the consigliere when it comes to opec in this global market? reporter: we have been speaking to folks here at the white house and at the state department throughout the day. russia is actually not a country that has come up as it relates to this decision that was rolled out earlier today by the secretary of state mike pompeo. what does this mean for your investments as well as how much you could be paying at the pump for the near future? to our floor show. phil flynn, you are always sort of on the pulse of the markets but we have a bifurcated discussion here, the consumer, the investor. >> i think for the consumer, it's going to be tough. we are going to see the highest prices for gasoline we have seen in years and it's going to be a bit of sticker shock. already, according to one survey, gasoline prices have had the most consecutive days without