The suspense builds
Be very careful with OPEC headlines. The spin is unbelievable. If there's a cut, they will say it's much larger than in reality.
The baseline is a 10-15 mbpd cut but we don't know if that's from full production, Q1 levels or April levels. We also don't know for how long the cut will last.
The devil is truly in the details today.
More from Bakr:
We have the opening remarks now by the Saudi energy minister and following that there will be brief statements from the heads of delegation... then the ministers will move to the closed session.
At the end of the day, the big question is if OPEC even matters. Huge oil moves have been sparked by 2% over and undersupply over time. We're at minimum 10% oversupplied even with the biggest OPEC cuts that are on the table.
The latest report from Reuters says there are 25 oil tankers floating outside European ports due to delays in discharges. Refineries have asked them to delay because they don't have more room for storage.