LONDON (Reuters) – OPEC + experts held a meaningful meeting on Tuesday as rising oil prices to a record high in nearly a year masked continuing concerns about a recovery in oil demand.
The Joint Technical Committee started their meeting at around 1200 GMT and is reviewing the outlook of the demand and compliance of countries with agreed output cuts. A ministerial panel will meet to review the market on Wednesday.
Oil has accumulated from the historical levels reached last year as demand fell due to the pandemic as a result of recording OPEC + production cuts. On Tuesday, crude hit a nearly-year high of nearly $ 58 per barrel.
“A positive start,” said one OPEC representative. “The group wants a quick meeting with a forward agenda. ”
But there are concerns about speed of demand. OPEC has once again reduced the forecast of this year’s oil demand recovery as a result of pandemics. [OPEC/M]
The JTC meeting and the ministerial gathering on Wednesday are not expected to recommend any changes to oil production policy, two OPEC sources said.
Reporting by OPEC Reuters team, written by Alex Lawler, edited by Jason Neely