OPEC's efforts to stimulate flagging prices are likely to fail once again because of its limited influence on the market, Mouhammed Choukeir, chief investment officer at Kleinwort Hambros, told CNBC on Tuesday.
"Oil price has a life of its own…. You can see that since the beginning of the year clearly OPEC has tried its best to keep that oil price going higher and higher (but) it has failed to do so for a number of reasons," Choukeir said.
The 14-member cartel and other oil exporting nations including Russia are trying to clear a global glut of crude oil by keeping 1.8 million barrels a day off the market through March. On Monday, the ministers did not discuss making deeper cuts, which some analysts have said are necessary, but OPEC members took other measures to shore up the deal.
The group urged major oil producers to boost compliance with output cuts in order to help rein in oversupply. OPEC kingpin Saudi Arabia pledged to cut oil exports at 6.6 million b/d in August, almost 1 million b/d below levels a year ago.