- Crude prices are roaring back this morning to trade near $82.48, after reaching an intra-session low of $79.45
- All eyes have turned to OPEC+’s meeting today where the group is expected to adhere to its current supply hike schedule, despite calls from U.S. President Joe Biden’s “demands” for more oil
- The U.S. Dollar is up by 44 pips this morning in response to yesterday’s Fed meeting where Fed Chairman Jerome Powell said that it would begin tapering asset purchases later this month and that current inflation is expected to be "transitory"
- OPEC+ is scheduled to meet today to confirm a supply hike of 400 MBbl/d
- U.S. President Joe Biden has placed the blame for high fuel prices squarely on the cartel and issued an opaque threat earlier in the week for if the cartel refuses to increase oil supply
- Despite international pressure, the group has remained steadfast in its plan. There are questions about whether the group would even be able to hit a higher production quota as several key members have struggled to hit monthly-output targets already
- U.S. shale producers signal more oil is coming (Reuters)
- Several major oil companies, including BP, Chevron, and ExxonMobil, are planning to increase output or shale spending next year, according to 3Q2021 earnings calls
- EIA data shows overall U.S. production rose to 11.5 MMBbl/d last week, inching closer to its pre-pandemic peak of about 13 MMBbl/d
- Permian output is forecast to hit 4.89 MMBbl/d in November, just below its 4.91 MMBbl/d peak. Still, the remaining shale regions have lagged and are producing about 25% less oil than their peak