Oil can’t hold a bid ahead of Thursday’s OPEC+ decision

There have been multiple reports saying that the most likely OPEC+ result is an extension of production curbs through Q1, followed by the start of the planned return of barrels.

Normally, I would argue that’s priced in and tomorrow’s price action should be smooth if/when that’s announced. However, the oil market operates differently and there have been a multitude of ‘expected’ OPEC decisions where the oil price makes a big move anyway, usually to the downside.

With that in mind, crude is down $1.15 today after rising as much as 40-cents earlier in New York trade. And that comes despite a bullish weekly US inventory report.

This article was written by Adam Button at www.forexlive.com.