OPEC – Pay no attention to the man behind the curtain

The deal raises official output limits by four percent to 27 million bpd. But it is expected to have little impact on actual supplies because the group already is pumping nearer 28 million bpd.

Leading producer Saudi Arabia has already made a commitment to keep supplies high until prices fall.

Cartel delegates said keeping official allocations lower than actual supply would allow OPEC more flexibility to cut back quickly, without readjusting quotas, should prices suddenly fall.

Reuters