OPEC+ agreed Sunday to stick to its oil-output targets two days after the Group of Seven nations agreed to a price cap on Russian oil, amid mounting concerns over new Covid-related lockdowns in China and lingering uncertainty over Russia’s ability to export crude.
During a virtual meeting, the Organization of the Petroleum Exporting Countries and the Russia-led bloc—a group collectively known as OPEC+—decided to maintain production cuts of 2 million barrels a day initially agreed to in October, OPEC said.
Known in OPEC parlance as a “rollover,” it will allow the group time to assess the market impact of the price cap of $60 a barrel on Russian oil, the delegates previously said.
Some members had previously considered the possibility of a production increase to fill a possible gap in Russian output. But members are now grappling with oil prices that have fallen 13% in the past month.
the international benchmark, was at $85.42 on Friday, and
West Texas Intermediate,
the U.S. benchmark, was at $80.34—far below the $90-a-barrel level where some oil-market analysts say the group wants to see prices.
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