The oil markets reversed early losses on Monday, as comments from the Iraqi oil minister cast doubt as to whether the Organization of the Petroleum Exporting Countries would decide to boost output at its upcoming meeting.
For 18 months, OPEC and its allies have curbed production in the hopes of stabilizing markets and supporting prices. The group is set to meet June 22-23 in Vienna and decide how to move forward with its supply curb policy against the backdrop of tumbling Venezuelan production and looming sanctions against Iran, the third-largest OPEC producer.
"Last week, we saw some news stories indicating that the Trump administration had asked OPEC to increase oil production. But the week went out and we saw those stories walk back. And now we're seeing a number of OPEC producers who are in favor of the status quo," said Andrew Lipow, president of Lipow and Associates in Houston.