By Terence Hove

Crude oil futures attempt to stabilize, continuing to trade mostly sideways as traders await the outcome of an upcoming OPEC+ meeting. Market participants are closely monitoring the group’s potential decision on supply cuts, along with ongoing geopolitical tensions in the Middle East. Given the uncertainty surrounding OPEC+’s actions, the market could see volatility risks.

The OPEC+ meeting has sparked speculation that the group may extend its current production cuts by at least three months, providing further support to the oil market. However, should the group opt to ease production cuts in an effort to defend market share, a more bearish sentiment could emerge. Conversely, an extension of the cuts would likely support prices in the medium term.

Meanwhile, geopolitical developments in the Middle East continue to have an impact on global crude prices. Any escalation could potentially fuel concerns about oil supplies and push prices up.

Hove is a Financial Markets Strategist Consultant to Exness