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Oil little changed, despite OPEC+ members stressing compliance

Oil steadied on Monday, weighed by concerns over surging coronavirus cases globally and by Libya’s plan to boost output, but supported by hopes for a U.S. fiscal package.

Analysts also focused on an OPEC+ ministerial monitoring committee meeting on Monday. Russian Energy Minister Alexander Novak said the committee recommended to stick in full to the group’s global deal to reduce oil production.

Brent crude futures fell 22 cents to $42.71 a barrel. U.S. West Texas Intermediate (WTI) crude futures settled 5 cents, or 0.1%, lower at $40.83 per barrel.

Saudi Arabia, the biggest member of the Organization of the Petroleum Exporting Countries, said no one should doubt the group’s commitment to providing support, while three sources from producing countries said a planned output increase from January could be reversed if necessary.

OPEC+, a grouping of OPEC and allies including Russia, is curbing oil production by 7.7 million barrels per day (bpd), down from cuts totaling 9.7 million bpd, and are due to reduce the cuts by a further 2 million bpd in January.

Reference: CNBC