New | New Saudi monarch sticking with Opec policy on oil output
No major changes seen though questions raised over future energy policy if oil minister resigns
Saudi Arabia's new king is expected to stick to an Opec policy of keeping oil output steady to protect the cartel's market share from rival producers, even as energy markets face some of the biggest shifts in decades.
Saudi Arabia's King Abdullah died early on Friday and his brother Salman became king, the royal court said in a statement.
Salman has named his half-brother Muqrin as his crown prince and heir, rapidly moving to forestall any fears of a succession crisis at a moment when Saudi Arabia faces unprecedented turmoil on its borders.
The new king is expected to broadly continue Abdullah's policies, analysts say.
"King Abdullah was the architect of the current strategy to keep production high and force out smaller players instead of cutting," said John Kilduff, a partner with Again Capital in New York.
Kilduff said that Salman was known as a defender of Saudi Arabia's interests and that the market would expect him to keep production high.
FGE analyst Tushar Bansal said: "By and large, as of now no major change is expected in Saudi policies" but he said the market would focus on whether Saudi Arabia's oil minister might be replaced.