OPEC and Allied oil producers, including Russia, concluded that the crude oil market was recouped in April when their collective cuts in production reached a major target of outflows in global inventories
The surplus of oil reserves over prices for three Years that plummeted in April to less than the five-year average for inventories in developed countries, according to people with knowledge of the data assessed at the meeting of the Joint Technical Committee of OPEC and other producers in Jeddah last week, Saudi Arabia  The committee, known as the JTC, found that developed world inventories had dropped to around 20 million barrels below their five-year average, a drop of around 360 million barrels since the beginning of 201
The JTC meeting is ahead of the producers The next meeting will take place next month in Vienna, where they will evaluate the results of the production cuts they have been making since January 2017. With deliveries from Iran and Venezuela threatened, there is ample speculation that the organization of oil-exporting countries and their allies might ease the cuts. Top producers Saudi Arabia and Russia said last week that OPEC and other suppliers could boost production in the second half of the year, leading to a price drop reaching $ 80 a barrel for the first time since 2014.
Manufacturers have so far relied on inventory levels in Organization for Economic Co-operation and Development countries by looking at the 5-year moving average. At last week's meeting in Jeddah, the JTC looked at other ways to assess oil stocks. One option is to look at a longer period, a 10-year average from 2004 to 2014, while another uses the five-year average but excludes data from 2015 and 2016, as these years were unusually large stocks, people said  The International Energy Agency said on 16 May that OPEC and its allies had finally managed to eliminate oversupply, with inventories falling below their five-year average for the first time since 2014. Saudi Arabia and Russia both said the five-year average was flawed. Years of transmission mean that the measure itself is higher than normal, while the non-uniformity of data outside the OECD makes it difficult to accurately assess the world market as a whole.