OPEC cutting production. Agri implications?

Mooooo

With oil going up what way do ye see it effecting us.? May help grain and dairy but inputs may go up faster than our returns. Will it start a bit of inflation with the wage talks as well, and how would this effect interest rates?

pedigree 6

The Shale gas plants, North sea, Iranian and Russian plants will get going again.
There's been a lot of job losses in recent years because of OPEC.
Don't know much about it only what you've posted.

Timmaay

pedigree 6 wrote: »

The Shale gas plants, North sea, Iranian and Russian plants will get going again.
There's been a lot of job losses in recent years because of OPEC.
Don't know much about it only what you've posted.

Nay opec want to increase it enough to improve their profitability, but not too much that it brings all those higher cost systems back into production.

visatorro

Opec put a few fracking crowds out of business. It's all about them making millions. God's knows the wider implications.
I do know if agri diesel is done away with were fecked.

Mooooo

Brent crude has gone up 8% I think, perhaps pressure came from smaller members as some are in trouble with low oil revenues. venezeula is fcuked I think currency worth feck all

kowtow

I've a feeling we might see a fairly weak euro, at least relative to expectations, in the next while. That could be helpful to farmers but against a dangerous economic backdrop.

If you cast your mind back irish news papers and radio stations were all quoting "experts" predicting parity between eur and pound in the near term. Quite apart from the manifest ignorance of the Irish media it was always the case that strong sterling and dollar and stagnation followed by crisis in the euro zone was an equally likely outcome of Brexit + Trump.

The bond market may well have made a top now so rising interest rates and asset deflation particularly in the periphery of the euro zone are quite possible.

From an Irish farmers perspective the nature of our future trade relationship with the uk is more important than ever.

Sterling is a sideshow, the real problem is political.

Mooooo

Interest rates are a worry, hard to predict what to do and main loan on a high enough variable as it is. May see what they offer for fixed periods now anyway.