Investing.com investing.com 05 Jan, 2021 03:45 am

OPEC+ Wary of Fragile Recovery Before Output-Hike Decision By Bloomberg

OPEC+ Wary of Fragile Recovery Before Output-Hike Decision By Bloomberg
OPEC+ Wary of Fragile Recovery Before Output-Hike Decision

At a long and late meeting on Sunday, several countries including Saudi Arabia sounded cautious about increasing production in February, on top of the 500,000 barrel-a-day hike already agreed for this month, delegates said.While Russia, the cartel’s de-facto leader alongside Saudi Arabia, publicly backed an additional boost in late December, the outlook has shifted since then.Last month, OPEC+ talks ran into a five-day stalemate as Saudi Arabia and the United Arab Emirates -- for years stalwart allies in both political and energy spheres -- disagreed over how quickly to revive the idled barrels.“The outlook for the first half of 2021 is very mixed,” OPEC Secretary-General Mohammad Barkindo said at Sunday’s preparatory meeting.

The vaccines have created a “healthier” outlook for oil consumption, which will soon “shift from reverse to forward gear,” Barkindo said at the Joint Technical Committee meeting on Sunday.Restrictions on movement are still in place in a number of countries amid a new strain of the virus, Barkindo said.

Read full story at investing.com