While there was never any expectation of a production “cut” from Saudi Arabia, hope still remained that “discussions of a ‘freeze'” could be extrapolated to an ‘in-the-end’ cut down the line… That is over…

AFP has just reported that…

#BREAKING AFP EXCLUSIVE: Saudi will not cut oil production: FM

— AFP news agency (@AFP) February 18, 2016

“Saudi Arabia isn’t ready to cut its production” of oil to support prices, which have been hurt by a supply glut, AFP reports citing interview with Foreign Affairs Minister Adel al-Jubeir.

Oil prices to be “determined by supply and demand and by market forces”

And Crude is extending its losses…

Of course this is just more noise as there was never any real news regarding expectations of a cut from The Kingdom and along with Iran and Iraq refusing to join discussions of a production cut, the rally of the last week seems on fragile ground.