Oil set for monthly surge with market watching next OPEC+ move
Oil is heading for a fourth monthly gain with the global market tightening as investors await the OPEC+ meeting next week, watching for any changes to production strategy following booming prices.
Futures in New York are up 21% this month after closing at the highest since May 2019 on Thursday. The recovery from the Covid-19 pandemic accelerated this year after Saudi Arabia pledged deeper output cuts, helping to drain bloated stockpiles. Early indications point to differing opinions on the way forward for OPEC+, however, with the kingdom in favor of keeping supply steady and fellow heavyweight Russia angling for an increase.
The producer group will meet amid an atmosphere of buoyant optimism in the market outlook, with traders and investment banks this week making a series of bullish calls and upward price revisions.
