Oil prices fell on Wednesday\u2019s trading session, continuing their recent downfall. This comes amid the growth in US oil production in addition to the rise in US stocks to more than expected figures.<\/p>\n
On Wednesday, during early trading sessions, prices rose initially after reports emerged that Russia and Saudi Arabia were discussing the possibility of cutting oil production next year. In addition, the US Energy Information Administration stated that domestic crude oil inventories rose by 5.8 million barrels in the last week, exceeding the expectations of experts and analysts. Crude oil output reached 11.6 million bpd, a new weekly record, so analysts will monitor whether the monthly data will confirm these figures.<\/p>\n
US crude futures fell 65 cents to $61.58 a barrel, down 20% from a record high of $76.41 a barrel in early October. Analysts believe that the market is still unable to hold on to higher prices, so the short term mood is still very negative.<\/p>\n
Brent crude was down 49 cents, at $71.63 a barrel.<\/p>\n
Iran’s oil exports are expected to drop after the US sanctions come into effect starting next Monday. Reports from OPEC and other organizations reporting on oil sector forecasts indicate that the world oil market may be oversupplied in 2019 as demand slows down.<\/p>\n
Russia and Saudi Arabia, the biggest producers of the OPEC-led alliance to cut production started bilateral talks on a return to production cuts next year, according to the Russian news agency TASS. The group of producing countries decided to ease restrictions on production in June, after pressure from US President Donald Trump. Analysts say these countries may be more willing to cut output now that the midterm elections have ended. US President Trump, whose Republican Party is fighting to retain control of Congress, has complained and opposed high gasoline prices.<\/p>\n
OPEC was under pressure from the Trump administration, but producers tended to think they only needed to bypass the US election, and we should start to see public statements from OPEC ministers at the end of this week. The ministerial committee, composed of some members of the Organization of Petroleum Exporting Countries (OPEC) and non-OPEC allies, will meet on Sunday in Abu Dhabi to discuss the 2019 oil outlook.<\/p>\n
Supply in countries such as Saudi Arabia has risen significantly since June. Meanwhile, Washington was granted exemptions from its sanctions on Iran to eight oil buyers.<\/p>\n","protected":false},"excerpt":{"rendered":"
Oil prices fell on Wednesday\u2019s trading session, continuing their recent downfall. This comes amid the growth in US oil production in addition to the rise in US stocks to more than expected figures. On Wednesday, […]<\/a><\/p>\n<\/div>","protected":false},"author":1,"featured_media":907,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[3,4],"tags":[36,34,48,24,33,9,21,14,22,10,70,47,23,46,39],"_links":{"self":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts\/906"}],"collection":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/comments?post=906"}],"version-history":[{"count":1,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts\/906\/revisions"}],"predecessor-version":[{"id":908,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/posts\/906\/revisions\/908"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/media\/907"}],"wp:attachment":[{"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/media?parent=906"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/categories?post=906"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/skyeconomynews.com\/wp-json\/wp\/v2\/tags?post=906"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}