SURPRISE ANNOUNCEMENT
"We look forward to a resolution that will secure the sustainability of balance of supply and demand," UAE's Energy Minister Suhail Al Mazroui said ahead of meetings.
Ministers spoke to reporters in their hotels in Vienna. OPEC has denied media access to its headquarters to reporters from Reuters and other news media.
The surprise output announcement in April helped to drive oil prices about $9 per barrel higher to above $87, but they swiftly retreated, under pressure from concerns about global economic growth and demand. On Friday, the international benchmark Brent settled at $76.
Last week, Saudi Arabia's Energy Minister Prince Abdulaziz said investors who were shorting the oil price, or betting on a price fall, should "watch out", which many market watchers interpreted as a warning of additional supply cuts.
The International Energy Agency expects global oil demand to rise further in the second half of 2023, potentially boosting oil prices.
Analysts at JPMorgan, however, said OPEC had not acted quickly enough to adjust supply to record high levels of U.S. output and higher-than-expected Russian exports.
"There is simply too much supply," the JPMorgan analysts said in a note, adding that extra cuts could amount to around 1 million bpd.
Edward Moya at brokerage OANDA said: "The oil market is doubtful a consensus for another output cut can be reached between the Saudis and Russians, but traders should never underestimate what the Saudis will do and leverage during OPEC+ meetings."
REUTERS
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