In terms of how this will impact production for the bloc, it isn’t going to do anything. The members are well in compliance with current output levels already, so this will just continue to keep things as it is. If anything else, only Saudi Arabia and UAE are the two countries with any real spare capacity so that tells a lot about the situation involving OPEC+ at the moment.

Oil prices are responding well though as this could be a sign that OPEC+ are done with the moderate increases in output – which were aimed at appeasing the US perhaps. WTI crude oil is now up 1.4% on the day to $95.10.

This article was written by Justin Low at www.forexlive.com.