Oil - BoA / Merrill Lynch say unilateral Saudi oil production cuts unlikely

Overnight comments from BoA Merrill Lynch on Saudi oil:

• Saudi oil officials prefer oil market stability over volatility
• Say that while volatility makes it difficult for high cost "unconventional producers" to operate, it is damaging for Saudi Arabia and its long-term planning

On cuts to production:

• Unilateral crude oil production cuts are unlikely
• But willing to cut oil production in "transparent and verifiable conjunction with major OPEC and non-OPEC oil exporters"

The bank analysts note:

• There have been historically six cases of OPEC and non-OPEC production cut coordination, the last of which took place in 1998-1999