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To: Ahda who wrote (50356)	3/13/2000 9:51:00 PM
From: Alex	Respond to of 116759

03/13/2000: Predictions About The Upcoming OPEC Meeting & Oil Price SUSIE GHARIB: Well, oil prices nudged up $0.19 today to about $32 a barrel. Traders are on the sidelines waiting to see what happens at the big OPEC meeting in Vienna two weeks from today. Joining us live now with a preview of what to expect is our colleague from BridgeNews, Peter Rosenthal, who reports on oil. Hi, Peter. PETER ROSENTHAL, SENIOR ENERGY CORRESPONDENT, BRIDGENEWS: Hi, Susie. GHARIB: So oil last week, the price was as high as $34. It?s been $28, $29. It?s just sort of like all over the place. What are some of the issues influencing the price of oil right now? ROSENTHAL: Well, people want to know whether OPEC is going to increase, when they?re going to increase and by how much. The world needs more oil, as analysts and the U.S. government and the IEA have been saying for several months now. GHARIB: So when these OPEC ministers in Vienna in two weeks what do you expect to happen there? Are they going to increase? ROSENTHAL: Well, analysts are expecting about a 1.5 million barrel a day increase, which some say is not enough to quench the thirst for oil. As we head into the summer and start traveling on the highway more, we?re going to need a lot more gasoline and some of that?s not going to be met with just one and a half million barrels a day. GHARIB: Well, Peter, you?ve heard the quotations from the Clinton administration saying that they want a sizable increase. What is the number they are looking for? ROSENTHAL: At least two million barrels a day is probably what they are looking for, and that would probably serve to push oil prices back under $30 a barrel. GHARIB: So that would push prices down, but just to $30. What if they had a bigger increase, what would that do to the prices? ROSENTHAL: That could sent them all the way down to $25 a barrel and in turn eventually gasoline prices, what they?re hoping is would stop moving higher and maybe edge lower, possibly avoid going towards $2 a gallon in the summer. GHARIB: So what other kind ever issues do you expect to be battled out there? I mean do you think there?s going to be consensus or what? ROSENTHAL: Consensus seems to be growing. Iran today signaled that it?s willing to increase if the price stays above $29 for their basket of crude, which is about where we are today in New York. So it?s going to be a fight about who is going to get to increase. It?s all about market share which is why Mexico, Venezuela and Saudi Arabia, the top suppliers to the U.S., have been the architects of the recent agreements. GHARIB: I know you are going to Vienna so we?ll be looking forward to getting your reports when you?re there at the OPEC meeting. Thank you very much, Peter. ROSENTHAL: Thank you. GHARIB: And we?ve been speaking with Peter Rosenthal of BridgeNews. Nightly Business Report transcripts are available on-line post-broadcast. The program is transcribed by FDCH. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc., Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. (c) 2000 Community Television Foundation of South Florida, Inc.