# OPEC agrees 1.5m b/d output cut - but compliance will be key | Wood Mackenzie

> OPEC agreed a 1.5 million bpd output cut as coronavirus reduces global demand, with Wood Mackenzie projecting a 2.7 million bpd fall in first-quarter demand. Russia's agreement remained unconfirmed, and compliance was seen as the key factor.

- Date: 2020-03-05 · published 2020-03-05T12:00:00.000Z
- Category: policy · region Global · magnitude medium
- Page: https://feedsoft.ai/events/54054-opec-agrees-1-5m-b-d-output-cut-but-compliance-will-be-key-wood-mackenzie
- Commodities: [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

A cut of this scale would support crude prices if compliance holds, but a demand drop of this size could outweigh supply restraint. Energy price direction depends on Russian buy-in.

## Read by commodity

- WTI: bullish ▲
- BRENT: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| BRENT | 2019-07-02 | [OPEC+ aims for balance as it rolls over output curbs \| Wood Mackenzie](https://feedsoft.ai/events/58011-opec-aims-for-balance-as-it-rolls-over-output-curbs-wood-mackenzie.md) | -0.9% | -3.2% |
| BRENT | 2019-02-07 | [MEED \| Opec+ agrees to extend oil output cuts till March 2020](https://feedsoft.ai/events/60521-meed-opec-agrees-to-extend-oil-output-cuts-till-march-2020.md) | +1.6% | +4.5% |
| BRENT | 2019-06-30 | [OPEC+ set for rollover but risk clouds supply outlook   \| Wood Mackenzie](https://feedsoft.ai/events/58526-opec-set-for-rollover-but-risk-clouds-supply-outlook-wood-mackenzie.md) | -4.2% | -6.1% |
| BRENT | 2017-12-01 | [OPEC opts to extend production cuts \| Wood Mackenzie](https://feedsoft.ai/events/67409-opec-opts-to-extend-production-cuts-wood-mackenzie.md) | -2.0% | +4.9% |
| BRENT | 2017-12-01 | [Mexico agrees to continue output cut in line with OPEC - BNamericas](https://feedsoft.ai/events/67412-mexico-agrees-to-continue-output-cut-in-line-with-opec-bnamericas.md) | -2.0% | +4.9% |
| WTI | 2019-02-07 | [MEED \| Opec+ agrees to extend oil output cuts till March 2020](https://feedsoft.ai/events/60521-meed-opec-agrees-to-extend-oil-output-cuts-till-march-2020.md) | -0.2% | +4.2% |
| WTI | 2019-06-30 | [OPEC+ set for rollover but risk clouds supply outlook   \| Wood Mackenzie](https://feedsoft.ai/events/58526-opec-set-for-rollover-but-risk-clouds-supply-outlook-wood-mackenzie.md) | -1.4% | -2.5% |
| WTI | 2017-12-01 | [OPEC opts to extend production cuts \| Wood Mackenzie](https://feedsoft.ai/events/67409-opec-opts-to-extend-production-cuts-wood-mackenzie.md) | -1.5% | +5.3% |

## Sources

- woodmac.com: https://www.woodmac.com/press-releases/opec_decision/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.