Oil jumps after OPEC+ floats October production cut

And there it is: the half life of the infamous fist bump proved to be less than two months, with a delegate telling Reuters that OPEC+ supports a 100kb/d reduction in oil output for October, meaning it’s a done deal.

The much-anticipated OPEC+ meeting later on Monday has all options on the table for oil, Bloomberg’s Nour Al Ali writes, adding that whatever the decision is on production in October, the alliance has the upper hand, which is bullish for the oil futures market.

A delegate has told Bloomberg that OPEC+ will discuss a range of oil-policy options at Monday’s meeting including a 100k b/d output cut – reversing last month’s just as symbolic output hike following Biden’s begging for more oil. Other options include maintaining production at current levels as well as an output cut before the next month’s meeting.