Brent crude futures were up 81 cents at $34.20 a barrel by 0925 GMT (2:55 p.m. in India), having fallen from an earlier peak of $35.55, the highest price since February 4. US crude futures were up 63 cents at $30.07, off the day's high of $31.53. "It's really the first supply management decision taken since November 2014, so even though there will be some that will try to discount it and say it's not a cut, it's a change. It is a big change in policy," Petromatrix strategist Olivier Jakob said.
Saudi Arabia proposed that OPEC and key allies such as Russia cut crude oil production by one million barrels per day. Crude oil prices fell on fears that such a smaller-than-expected reduction would not be enough to reduce global oversupply and prop up futures.
The OPEC meeting has not settled on a crude oil production cut figure, Saudi Minister Khalid Al-Falih told reporters. But as OPEC’s de facto leader, Saudi Arabia’s proposal gives a strong indication of what the final decision will be.
On Wednesday, Russia agreed to take part in a six-month reduction after Saudi Arabia said it wouldn’t stand alone with output cuts.
But OPEC and non-members couldn’t agree on the size of the cut.
more at source: https://www.investors.com/news/opec-meeting-crude-oil-production-cut-oil-prices/