OPEC+ leaning towards another small oil output increase in December: Report

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OPEC+, the world’s largest grouping of oil-producing nations, is leaning towards a modest output boost in December, according to Bloomberg.

Sources reported that the alliance is expected to approve an increase of approximately 137,000 barrels per day (bpd) in production ceilings during the online meeting scheduled for November 2.

If approved, this would be the third consecutive increase of the same magnitude in the ceiling for the alliance, which comprises OPEC countries and several allied countries, including Russia.

After abandoning a package of voluntary production cuts estimated at approximately 2.2 million bpd this year, the alliance is proceeding with the gradual removal of another package of 1.66 million bpd in order to regain market share.

The sources confirmed that a final decision on the next increase has not yet been made, amid uncertainty surrounding global prices, with signs of declining Chinese demand and a potential oversupply, in addition to new US sanctions on Russia.

One source indicated that the decision could also be influenced by the outcome of trade talks between the United States and China, one of the world's largest oil consumers.