A supply reduction of as much as 1 million barrels a day is the most likely outcome, according to RBC's Chief Commodities Strategist Helima Croft."We think that the continued macro worries and soured sentiment will lead the group to make another downward adjustment," she said in a note.
OPEC+ is only a month into the production cuts announced in April. Those surprise curbs caused a brief price rally, but oil traders have since amassed short positions in crude futures as the slowly global economy threatened demand. Prices fell by 11% in New York in May, ending the month at about $68 a barrel.
Novak later moderated that statement, saying the group could decide to take any action that's necessary. Yet with Russia's promised cuts failing to show up in international markets, it's not clear if the group will be able to find consensus for another round of reductions so soon.