Oil ministers from OPEC+ nations agreed on Thursday to lift output by 648K barrels per day (BPD) in both July and August, according to sources speaking to Reuters, in line with the recommendation made by the group's Joint Ministerial Monitoring Committee earlier in the day. With Thursday's meeting having now ended, the next meeting has been penciled in for 30 June.
Thursday's decision marks a departure from the groups policy over the last year and a bit of raising output at a more measured pace of 432K BPD each month.
Market Reaction
Oil prices appear to have seen a sort of "sell the rumour, buy the fact" reaction to the latest news, with front-month WTI futures jumping back into the green on the day in the mid-$115s per barrel, up over $3.0 from earlier sub-$112 lows. Reports over the last few days had been hinting toward a larger output hike to compensate for falling Russian output as a result of Western sanctions over its invasion of Ukraine.
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