Oil jumps on the headline
Reuters reports that OPEC has reached a deal to limit oil production. It will be executed in November, according to a source.
WTI crude oil is up $1.73 to $46.37.
A sense has been growing in the market as the meeting in Algiers extended. The sides didn't seem too far apart and it looked like Iran, Nigeria and Libya would get the necessary waivers.
In the bigger picture, WTI has risen above last week's high but it's now facing the downtrend since June.
The market will want to see details. If it's just a freeze at current levels, you might see a quick turnaround. Algeria dangled the idea of production cuts today and the actual numbers are key.
Caveats will also be important. OPEC will want cooperation from Russia and perhaps others as a precondition for executing a deal.
Update: It may be awhile before we find out the details because OPEC leaders are now taking a break but say they will continue afterwards.