“With spare capacity below 2 mbpd (million barrels per day) in August, we believe OPEC+ preferred to keep their powder dry and use their buffer to address potential future disruptions. There are growing fears of demand destruction and if the current trend continues, additional barrels would put unwanted downside pressure on prices and, at the same time, would unnecessarily deplete thinning spare capacity.”

Tamas Varga, Analyst for PVM Oil Associates. [Reuters]