Rumors of a possible increase in OPEC production sent oil prices tumbling due to concerns about oversupply despite ongoing supply disruptions in Libya.
A possible partial reversal of OPEC production cuts sent crude oil prices sliding early on Monday after Reuters cited six unnamed sources from the cartel as saying members were going to add 180,000 bpd to total production beginning in October. The possibility for a rollback of the production cuts agreed in 2023 was floated by OPEC earlier this year, with the caveat that market conditions had to be right, meaning oil prices had to be high enough.
” “There are concerns that OPEC will go ahead and increase output from October,” IG market analyst Tony Sycamore told Reuters, adding “However, I think that outcome is price dependent in that it happens if the WTI price is closer to $80 than $70.” In other words, OPEC will only start rolling back production cuts when the price is right but reports about the possibility of rollbacks are making sure the price is not right, delaying the rollback, while fundamentals go their own way.
Production Cuts Oil Prices Market Conditions Libya Crude Oil Demand Growth China United States Economic Data
United Kingdom Latest News, United Kingdom Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Oil Prices Drop as OPEC Considers Increasing Production in OctoberOPEC will likely begin unwinding its production cuts in October, six OPEC sources told Reuters on Friday.
Read more »
Oil Prices Inch Higher as Libya's Oil Outage Outweighs Demand FearsOil prices inched higher on Thursday as Libyan oilfield shutdowns continue, but the uptrend may be temporary due to lingering demand concerns and a weak inventory draw.
Read more »
Shoppers praise pet-safe mouse repellent that doesn't have 'unpleasant odour'The effective repellent contains a mixture of castor oil, wintergreen oil, menthol and cinnamon oil
Read more »
Exxon Joins OPEC in Warning of Looming Oil Supply CrisisExxon warns of a potential future energy crisis caused by a lack of investment in oil and gas production, despite widespread predictions of declining demand.
Read more »
Global Oil Inventories Shrink as OPEC Decision LoomsOPEC faces a critical decision on whether to increase oil production amidst tightening global inventories, uncertain demand, and a volatile economic landscape.
Read more »
BofA Uptick in non-OPEC Oil Supply May Create Market Surplus in 2025The oil market is bracing for a softer supply-demand balance, as highlighted in a recent report by BofA Global Research
Read more »