FAST FIVE: Oil Prices Seesaw As OPEC+ Talks Reportedly 'Deadlocked' As Iran Refuses 'Symbolic' Cuts
* * * Update (6:20 am ET): Expressing dissatisfaction with the terms of whatever deal has been discussed, Iran is reportedly holding out for language about an exemption for the struggling producer to be included in the agreement following three hours of talks on Friday.
Still, in one sign that the bloc's two most dominant members might not be willing to cooperate, Russia and Saudi Arabia have refused to jawbone the market lower: Russian Energy Minister Alexander Novak said that while Russia would consider cuts of 100k-150k b/d, this deceleration would need to be short-lived, with production possibly ramping back up after three months because “market conditions may change.” And even if they do relent, analysts have expressed doubts about whether 1 million b/d in cuts would remove enough supply from the market.
Others have said they still believe an agreement for a 1 million b/d cut could still be reached.
Novak and Falih reportedly met Friday, though the details of what was said were unclear.
And hopes that a rebound in oil prices (due to its connotations for capex spending and, more broadly, economic growth) might rescue the equity market have added another possible repercussion to the dilemma.