News About OPEC May Disappoint Investors, Here's Why!


Ahead of the meeting that will take place on Sunday, OPEC and its allies, better known as OPEC+, are expected to keep oil production policy unchanged.

Reuters quoted five OPEC+ sources as saying there was a high chance it would not change existing production.

However, according to two other separate sources, the group may discuss another output cut although they do not expect a major reduction.

A drop in oil prices after nearing an all-time high of $147 a barrel in March due to the conflict in Ukraine has prompted analysts such as Eurasia Group to suggest that OPEC+ will cut production.

Even in October, the group agreed to cut production by 2 million barrels a day from global supplies that have fueled its dispute with the United States.

Turning to black commodity trading developments, Brent crude oil futures traded slightly higher at $85 a barrel while US WTI was positive at $79 a barrel.

After being pushed down by Covid-19 risk sentiment in China, oil prices stabilized again when shown by US oil supply data which unexpectedly showed a fall last week.

The American Petroleum Institute (API) reported that US oil inventories fell by 7.9 million barrels in the week ending November 25.