OPEC+ Makes Headway on Oil-Output Deal After Days of Talks - Bloomberg

OPEC+ Makes Headway on Oil-Output Deal After Days of Talks - Bloomberg

OPEC+ has made headway toward a deal on oil-output cuts, the first sign of progress after failed talks earlier this week.

After days of direct negotiations between the group’s heavyweights -- Russia, Saudi Arabia and the United Arab Emirates -- details of any potential compromise still weren’t immediately clear. It was too early to say whether the progress would translate into a final deal, delegates said, asking not to be named because the talks were private.

Oil rallied on the news, rising 2.9% to $45.85 a barrel at 12:26 p.m. in New York.

The Organization of Petroleum Exporting Countries and its allies need to hash out an agreement on supply levels for next year. Under the current deal, output is due to increase by 1.9 million barrels a day from January. Initially, talks had been focused on delaying the hike by three months, but that option ran into obstacles on Monday amid a clash between Saudi Arabia and the UAE. Since then, delegates have been trying to find a way forward.