First part of the OPEC meeting underway
The weak hands were shaken out of oil yesterday in the sharp decline but those losses have now been completely erased. WTI is up $2.08 to $82.96, setting up another potential bullish candle on the chart.
At issue is the OPEC+ decision today.
The JMMC monitoring committee has just begun to meet and it will advice OPEC ministers on what to do. Last month they advised them to stick to the +400k bpd plan and ministers quickly rubber stamped it.
The feeling today is that if there was going to be a surprise, there would have been murmurs by now. Instead it’s largely silent with some signals about defiance to the higher production the US is trying to push.
All signs point to a rollover here and then the crude market will have another month to do what it wants. Look out for comments suggesting targets could be adjusted at later meetings beyond the 400k bpd plan.