, Columnist
OPEC+ Mulls When to Fire Its Last Oil Production Bullets
The cartel is running out of capacity to pump more crude.
Running low on ammunition.
Photographer: Simon Dawson/BloombergThis article is for subscribers only.
It’s an ironic turn of events. Just as global central banks finally raise interest rates to fight oil-boosted inflation, OPEC+ faces the very same problem policy makers encountered when they loosened monetary conditions to rescue the global economy: the zero bound.
For the last year, the oil cartel has been injecting liquidity into the energy market, boosting output in a series of pre-planned monthly hikes. The final boost will come in August. By then, OPEC+ will be running out of spare production capacity.