Saudi Oil Output Hits Lowest Since 1990 Amid Middle East Supply Disruptions

Saudi Arabia's oil output has reached its lowest level since 1990, according to reports. The country informed OPEC that its production dropped to 6.316 million barrels per day in April, a significant decrease of 651,000 barrels per day from the previous month and a notable 42% decline from February levels.

This development comes amid broader supply disruptions in the Middle East, influenced by regional conflicts such as the ongoing Iran war. OPEC+ has decided to maintain October production quotas unchanged, indicating a stable policy environment in the face of these disruptions.

Market participants suggest that the significant drop in Saudi oil production could indicate a potential supply constraint, possibly leading to higher oil prices. Pricing in prediction markets appears consistent with a scenario where crude oil could reach a new all-time high by the end of the year.