FXStreet reports that ahead of the highly-anticipated OPEC and its allies (OPEC+) meeting on July 1, analysts at Goldman Sachs Commodities Research said more oil production is needed from the alliance to balance the market by 2022.

"...we expect OPEC+ to remain tactical in its output hikes with downside risks to global supply elsewhere pointing to a more robust outlook for crude and the upstream sector than petroleum products and the downstream sector.”

“See a base case of 0.5 mbpd supply increase from OPEC+ producers for consecutive months when the group meets on July 1 to discuss the threat of the Delta COVID variant, the potential return of Iran production and still slow shale response.”