Despite pressure from the United States and others to pump more oil, OPEC+ appears prepared to significantly reduce its oil output targets when it meets on Wednesday.
Due to concerns about a global economic recession, rising U.S. interest rates, and a stronger dollar, oil prices have fallen to about $90 from $120 three months ago. The potential OPEC+ cut could help them rise again.
OPEC+, which also includes Saudi Arabia and Russia, is attempting to reduce production by 1-2 million barrels per day, with some reports suggesting that the reductions may actually be closer to 2 million.
According to a source with knowledge of the situation, the United States is pressuring OPEC not to move forward with the cuts, claiming that the fundamentals do not support them.
According to sources, it is still unclear whether cuts may include current underproduction by the group or extra voluntary reductions by members like Saudi Arabia.