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OPEC+, a loose organization of 24 oil-producing nations led by Saudi Arabia and Russia, is likely to agree to cut output by 4.3 million barrels per day (bpd) on Thursday, according to analysts at JP Morgan. 

That would mark a big increase from their recent cut of 1.7 million bpd, but won’t be enough to compensate for the demand destruction brought on by the coronavirus outbreak, analysts said in a note on Tuesday, according to Reuters. 

Key quotes

While clearly not enough to offset the demand drop… (the cut) would materially lessen the risk of storage being filled and offer a smoother route to working off inventories.

“The Saudis want to keep the pressure on oil prices in order to gain a larger market share and concessions from Washington.