Oil rises after OPEC+ announcement to postpone production increase
Oil rises after OPEC+ announcement to postpone production increase . (MENAFN) Oil prices saw an increase of over USD1 in early trading on Monday following the announcement from OPEC+ that it would postpone a planned output increase for December by a month. This ...
América - MenaFN
(MENAFN) Oil prices saw an increase of over USD1 in early trading on Monday following the announcement from OPEC+ that it would postpone a planned output increase for December by a month. This decision was prompted by weak demand and rising from outside the group. futures rose by USD1.18 a barrel, or 0.1 percent, reaching USD70.69 per barrel by 0121 GMT. Similarly, U.S. West Texas Intermediate crude increased by USD1.01 a barrel, also up by 0.1 percent, to USD70.69.



OPEC+, which comprises OPEC member countries, Russia, and other allies, had initially scheduled a production increase of 180,000 barrels per day in December. However, the group has decided to extend its current cut of 2.2 million barrels per day for an additional month, having already postponed an increase in production from October due to low prices and decreasing demand.



Analysts from ING noted that the delay until January does not significantly alter the fundamentals of the market but may compel traders to reconsider the overall strategy of OPEC+. The decision to postpone the production increase came as a surprise to some market participants who had expected OPEC+ to proceed with its initial plans.



The postponement indicates that the group may be more inclined to support oil prices than previously anticipated. Before this decision, the eight OPEC+ members were expected to gradually start unwinding the additional voluntary production cuts of 2.2 million barrels per day by increasing production in December 2024 and throughout the following months next year.

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https://menafn.com/1108847532/Oil-rises-after-OPEC-announcement-to-postpone-production-increase
2024-11-04
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(MENAFN) Oil prices saw an increase of over USD1 in early trading on Monday following the announcement from OPEC+ that it would postpone a planned output increase for December by a month. This ...
Oil rises after OPEC+ announcement to postpone production increase