OPEC says it will consider reducing output by 1 million bpd to support oil prices
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Oil prices may be poised to rise on Monday as delegates think OPEC+ will consider cutting production raised 1 million bbl/day or more at this week’s group meeting to help support falling crude oil prices.
This will be the group’s second consecutive monthly cut following a 100k bbl/d production cut last month.
However, the group fell short of its target of more than 3 million bpd for most of the year, with Russian output falling and producers like Nigeria struggling to increase output.
The OPEC ministerial meeting in Vienna on Wednesday will be in person for the first time since the pandemic began, sending a message about the seriousness of the occasion.
Prices have fallen for the fourth straight month as the COVID-19 lockdown in China dents demand while rising interest rates and a strong US dollar weigh on global financial markets.
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