WTI in the red around $45 as OPEC+ seen gradually raising oil output
|The producers comprising of the OPEC and its allies (OPEC+) are likely to discuss whether to extend current oil output cuts by three to four months or to gradually hike production from January, as they commence its two-day meeting on Monday, Reuters reports, citing the OPEC+ sources.
Sources said: “OPEC+ is now considering extending the existing cuts of 7.7 million bpd, about 8% of global demand, into the first months of 2021.”
“Today meeting will be difficult, especially if Russia and Kazakhstan didn’t change their position,” a source said.
The informal discussions by the OPEC+ over the weekend failed to materialize, as they failed to find a consensus on oil output policy for 2021.
WTI cautious around $45
With a hike in oil output also being considered as an option in the OPEC+ meeting, the WTI barrel remains under pressure around $45, losing nearly 1.5% on the day.
The black gold is on track to book a 20% monthly gain this month, having rallied to eight-month highs of $46.24 last week.
WTI: Technical levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.