Oil is up 5% today... WHY?
According to Reuters' two OPEC sources, the organization:
"... Agreed on Wednesday to reduce its oil output to 32.5 million bpd from the current production levels of around 33.24 million bpd. The producing group will agree concrete levels of production by each country at its next formal meeting in November, the sources said.
One source also said that once production targets were reached, OPEC would reach out to non-OPEC producers for cooperation."
Our Quick Take?
Here's Hedgeye Potomac Senior Energy Policy analyst Joe McMonigle who has been spot-on about all the OPEC oil production "freeze" rumors all year.
Here's McMonigle's recent take on an OPEC "freeze" from earlier this month.