FX.co ★ OPEC+ Plans Q1 Output Freeze Amid Surplus Concerns

OPEC+ has decided to halt any further oil output increases for the first quarter of the upcoming year. This follows a modest increase of 137,000 barrels per day slated for next month, consistent with similar increases in October and November. The decision, reached during a video conference on Sunday led by Saudi Arabia, anticipates the typical seasonal downturn in demand. Delegates have noted, "The first quarter is normally a period of weaker demand," marking the group's first pause since it began rapidly restoring supply in April. This strategy is designed to strike a balance between maintaining market share and addressing indications of a looming surplus. Additionally, Saudi Crown Prince Mohammed bin Salman is scheduled to visit Washington later this month to meet with President Donald Trump, who has consistently urged OPEC to take action towards reducing fuel prices.