US West Texas Intermediate (WTI) crude oil futures were at $55.66 per barrel at 0043 GMT, down 3 cents from their last settlement.
Oil markets remained on a weak footing on Wednesday after a 7 percent slump the previous session, with surging supply and expectations of faltering demand pressuring crude prices.
US West Texas Intermediate (WTI) crude oil futures were at $55.66 per barrel at 0043 GMT, down 3 cents from their last settlement.
International benchmark Brent crude oil futures had yet to trade.
Markets fell by more than 7 percent the previous day. They have lost over a quarter of their value since early October in what has become one of the biggest declines since prices collapsed in 2014.
Oil markets are being pressured from two sides: a surge in supply and increasing concerns about an economic slowdown.
The wave of supply is mostly fuelled by soaring production in the United States.
US crude oil output from its seven major shale basins is expected to hit a record of 7.94 million barrels per day (bpd) in December, the US Department of Energy’s Energy Information Administration (EIA) said on Tuesday.
That surge in onshore output has helped overall US crude production hit a record 11.6 million bpd, making the United States the world’s biggest oil producer ahead of Russia and Saudi Arabia.
Most analysts expect US output to climb above 12 million bpd within the first half of 2019.
“This will, in our view, cap any upside above $85 per barrel (for oil prices),” said Jon Andersson, head of commodities at Vontobel Asset Management.
The surge in US production is contributing to rising stockpiles.
US crude stocks rose by 7.8 million barrels in the week ending Nov. 2 to 432 million, as refineries cut output, data from industry group the American Petroleum Institute showed on Tuesday.
The producer cartel of the Organisation of the Petroleum Exporting Countries (OPEC), whose member states rely on high oil prices to finance government budgets, has been watching the jump in supply and price slump with concern.
Led by top exporter Saudi Arabia, OPEC has been making increasingly frequent public statements that it would start withholding crude in 2019 to tighten supply and prop up prices.
“OPEC and Russia are under pressure to reduce current production levels, which is a decision that we expect to be taken at the next OPEC meeting on December 6,” said Andersson.
That puts OPEC and Saudi Arabia on a collision course with US President Donald Trump, who publicly supports low oil prices and who has called on OPEC not to cut production.
Pingback: W88
Pingback: Buy Psychedelics Online
Pingback: keju qq
Pingback: Recorded Webcam Sex Videos
Pingback: taxi cheltenham to heathrow
Pingback: facebook old layout
Pingback: bitcoin auto invest
Pingback: app-bitcoinloophole.com
Pingback: 메이저놀이터
Pingback: digital transformation consultants
Pingback: pertamina recruitment
Pingback: quality repair service
Pingback: Regression Testing
Pingback: 풀팟포커
Pingback: Jake Barney Medwell
Pingback: replica rolex datejust dials
Pingback: breitling replica watches
Pingback: microsoft exchange online plan
Pingback: instagram hack
Pingback: 포인트홀덤
Pingback: Buy Guns Online
Pingback: sbobet
Pingback: สินเชื่อโฉนดที่ดิน เพื่อนแท้
Pingback: Buy Silencerco Maxim 9 Suppressors
Pingback: maxbet
Pingback: pour les détails
Pingback: Johnnie Walker gold label reserve
Pingback: you could try these out
Pingback: psychedelic mushroom chocolate bars legal
Pingback: Liberty Caps Mushroom
Pingback: Best Psychedelic Store Sydney
Pingback: buy winchester arms
Pingback: Ventilatoare pentru temperaturi inalte
Pingback: superkaya88
Pingback: 태국밤문화