If the US and several others join in with production curbs to help prop up oil prices, Saudi Arabia, Russia and allied oil producers will agree to deep cuts to their crude output at talks this week.
In line with the White House's insistence that it would not intervene in the private markets, the US Department of Energy noted in a statement yesterday that US output is already falling without government action. Over the course of the next two years, that decline would take place slowly.
As measures to reduce the spread of coronavirus have caused demand for jet fuel, gasoline and diesel to crash, global oil demand has dropped by as much as 30 percent or about 30 million bpd. An 80 percent drop in petrol use reported by France on Tuesday.
Willingness to return to the bargaining table expressed by the OPEC+ members. However, they have made their response conditional upon actions by the US and other countries.
OPEC+ on Thursday is scheduled to hold a video conference. Russia and Saudi Arabia had agreed to trim an unprecedented 10 million to 15 million bpd, the US President Donald Trump said last week. However, he has not committed to any actions in the US.
