OPEC+ meeting to resume Friday as group fails to reach output agreement  

Quantum Commodity Intelligence – The OPEC+ producer group meeting ended Thursday without a final agreement, but is scheduled to resume Friday in an attempt to finalize details of production policy until the end of 2021, and potentially well into next year.

There was, however, confusion over media reports that the group's technical panel had recommended incremental hikes to output of 400,000 bpd each month for the rest of the year, totaling an additional 2 million bpd by year end.

The Joint Ministerial Monitoring Committee (JMMC) was reported to have made the recommendation for the monthly increases from August through December.

But details of the recommendation were sketchy, while later reports suggested the group failed to reach a deal Friday on reservations from some members on extending the OPEC+ pact until the end of 2022.

While recommendations by the JMMC are not necessarily rubber stamped at the full ministerial meeting, the final decision is not expected to stray too far from the broader 400,000/b proposal.

Both Saudi Arabia and Russia are members of the JMMC, which likely means any proposal has backing from both Riyadh and Moscow.  

The JMMC is also expected to meet again Friday. 

The market initially welcomed reports of the modest increments from August, with front-month September Brent futures surging to over $76.50/barrel in late London trading, before easing back to around $75.70/b but still up on Wednesday's settle of $74.62/b.