Oil prices, along with other asset classes, are falling on concerns of a weak global economy and soft data from China, the world’s biggest oil importer.
“Done,” said one of the sources. All three sources declined to be identified by name.
The news lifted oil prices by more than $1, with Brent futures trading at $73.72 a barrel by 1408 GMT. It hit its lowest level of the year on Wednesday.
The planned increase was 180,000 barrels per day, with OPEC+ output accounting for about 5.86 million bpd, about 5.7% of global demand.
Last week, OPEC+, which is made up of the Organization of the Petroleum Exporting Countries and allies led by Russia, decided to go ahead with the increase.
Fragile oil market sentiment, coupled with the prospect of more supply from OPEC+ and the end of a dispute over Libya’s export curbs, has added to concerns within the group.
HSBC said in a report that any decision by OPEC+ could be taken negatively by the market.
“Increasing production will lead the market to a meaningful surplus from the first quarter of 2025. On the other hand, the holding could be interpreted as a belated admission by OPEC that demand for oil is weak.”
RBC Capital analyst Halima Croft said in a note that it may be prudent for OPEC+ to wait until December before returning additional barrels.
The planned increase in October was to come from OPEC+ members who agreed in June to begin unwinding the group’s most recent level of output cuts – cuts of 2.2 million bpd by eight countries – from October 2024 to September 2025.
The remaining cuts of 3.66 million bpd, agreed in the previous step, will continue until the end of 2025.
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