OPEC pledge to cut oil output is being met with skepticism
The cuts could be smaller than what was announced last week
There's a couple of reports doing the rounds now that's really not helping with oil market sentiment. It basically says that the OPEC communique last week was rather vague as OPEC is said to not publish individual oil output targets.
Judging by that, analysts are saying that if each OPEC country is believed to curb output by the expected 2.5%, the reduction would be smaller than the 800k bpd that was announced; it will amount to something of around 700k bpd instead. However, the key thing is that Saudi Arabia has given their pledge to reduce output to 10.2 million bpd from October's 10.64 million bpd - but that's a small bonus.
The headlines that are crossing now isn't inspiring confidence in oil as it drops to a session low on the day, down by nearly 1% now to $50.65.