The Saudis want a cut to production going forward of up to 1.5 m barrels a day through to year end
- Russia is said to be holding out for no change, just the current 600k cut to be extended
Price action in oil, weighed on by demand drops in the wake of the COVID-19 outbreak suggests producers might get higher prices if a cut towards the Saudi end of the spectrum is the outcome.
There is a balancing act, oil producers will not want to raise prices too much into weakening economies or they'll see further drops in demand
The OPEC+ meetings are on March 5 and 6, we will likely not get any resolution until the 6th.
One thing they can all agree on at the meetings:
