Oil prices stable after OPEC signals possible further action

Oil prices stabilized on Monday after one of the most bearish weeks in months, propped up by OPEC comments signaling the group and other producers may take further action to restore market balance in the long term.

Oil production platforms in the Gulf of Mexico started returning to service after Hurricane Nate had forced the shutdown of more than 90 percent of crude output in the area. The prospective restarts kept price gains in check.

“Oil is having trouble to find direction. Mixed signals keep investors busy changing their minds,” said Hans van Cleef, senior energy economist at ABN Amro.

“There is a good chance that we will continue to trade a bit sideways in the coming weeks up to the OPEC meeting.”

The Organization of the Petroleum Exporting Countries is due to meet in Vienna on Nov. 30, when it will discuss its pact to reduce output in order to prop up the market.

OPEC Secretary-General Mohammad Barkindo said on Sunday that consultations were under way for an extension of the agreement beyond March 2018 and that more oil-producing nations may join the supply pact, possibly at the November meeting.
more at: https://www.reuters.com/article/us-global-oil/oil-prices-stable-after-opec-signals-possible-further-action-idUSKBN1CE011

Related Posts

AAA Daily Fuel Gauge Report for Friday, 1/13/23

National Average Price for Regular Unleaded Current: $3.285; Month Ago: $3.245; Year Ago: $3.304. National Average Price for Diesel Current: $4.615; Month Ago: $4.890; Year Ago: $3.593.

Oil Trades Above $49 as Saudis Said to Curb Crude Sales to Asia

Oil in New York rose above $50 a barrel early last week, before slipping as signs of rising global supply eroded optimism that curbs by the Organization of Petroleum Exporting Countries and its partners are rebalancing the market. The failure of OPEC’s efforts amid expanding output in Libya and Nigeria and lower compliance by some nations has spurred Saudi Arabia to take more action. Prices “are profiting from Saudi Arabia’s announcement that it will be reducing its oil shipments,” said Eugen Weinberg, head of commodities research at Commerzbank AG in Frankfurt. “This announcement is remarkable to the extent that domestic demand declines in September, meaning that more crude oil will be available for export if production remains unchanged.” Click Read More below for additional detail.

Oil prices fall for fourth day after U.S. crude stocks rise

Oil prices fell for a fourth session on Wednesday after the U.S. government reported an unexpected increase in crude and gasoline stockpiles, but an increase in refining runs and a drawdown in distillates helped prices bounce off session lows. Prices also remained under pressure from this week's International Energy Agency (IEA) outlook for slower growth in global crude demand. While the crude build of 1.9 million barrels reported by the Energy Information Administration was more than forecast, it was not as big as the increase of 6.5 million barrels reported on Tuesday by industry group the American Petroleum Institute. The EIA data encouraged buying at session lows. Click Read More below for additional information.
Back To Top
×Close search
Search