WTI spikes back above $51 mark ahead of OPEC press conference

WTI crude oil witnessed a solid recovery from European session flash crash lows to $50.00 neighborhood and has now jumped back above $51.00 mark.

The latest leg of sharp spike in the past hour or so could be on the back of news flashes that OPEC - Non-OPEC members discussed option of extending cuts into June 2018 if market deteriorates. 

The black gold has now reversed over 50% of its early sharp losses recorded following the confirmation of a 9-month extension to the production cut deal, which disappointed some market participants anticipating a deeper cut. Meanwhile, the deal will have some conditions for Iran, Libya and Nigeria.

   •  OPEC delegate: OPEC agrees to extend oil production cuts for 9 months

With headlines coming out of the crucial meeting playing a dominant role for the commodity's rollercoaster ride, it would be prudent to wait for the final announcement before committing to the next leg of directional move.