Is OPEC At The Mercy Of Oil Markets?

Is OPEC At The Mercy Of Oil Markets?

Less than a week before its next meeting, OPEC and OPEC+, the affiliated organization that includes Russia and other countries, is once again showing signs that they have become reactive. Whereas once OPEC tried be a force of stability in oil markets, now the cartel and OPEC+ have put themselves in a position where instead of setting policy and leading the markets, they are reacting to the moves and sentiments of others. This is not a good sign for the power and influence of OPEC+.

OPEC Secretary General Mohammed Sanusi Barkindo (L) and Saudi Arabia's Energy Minister Prince ... [+] Abdulaziz bin Salman (R) attend an Opec-JMMC meeting in the UAE capital Abu Dhabi on September 12, 2019. (Photo by KARIM SAHIB / AFP) (Photo credit should read KARIM SAHIB/AFP via Getty Images)



AFP via Getty Images

The JMMC (Joint Ministerial Monitoring Committee) is the body that recommends action for OPEC and OPEC+. It met last on November 17, and did not issue a policy recommendation to the larger group. Despite the lack of any official word, analysts believe that OPEC and OPEC+ are considering a three or six month extension of the