Market Insider

Oil prices: OPEC may finally take action if crude's slide continues

Oil prices higher on output freeze talks

Oil's recent dip back into the $30s per barrel may be enough to get some OPEC members to curb their bickering and consider joint action — especially if oil plummets again.

Considering a deal and agreeing to one are two different things, but talk that the cartel would discuss its options sparked a rally in oil prices Monday.

"All of a sudden, the price narrative was divergent from the OPEC message. They see the wisdom of changing the rhetoric … It's no surprise they'd go back to the playbook that worked successfully," said RBC's head of commodity strategy Helima Croft.

After recovering from the winter's lows, oil plunged back into bear market territory last week, and reports surfaced that the cartel plans to meet on the sidelines of an energy conference in Algeria in late September.

On Monday, OPEC President Mohammed bin Saleh al-Sada, Qatar energy minister, confirmed that meeting, and oil rose nearly 3 percent. West Texas Intermediate settled at $43.02 per barrel.