Oil prices remain stable in face of OPEC+ supply reduction, ...| MENAFN.COM

Thursday, 01 December 2022 10:15 GMT

Oil prices remain stable in face of OPEC+ supply reduction, weakening currency


(MENAFN) According to Reuters, oil prices were little changed during Asian trade on Friday, but were on track for their first weekly rise in five weeks, supported by a lower US dollar and the chance that OPEC+ may agree to cut petroleum supply when it meets on Oct. 5.

Brent oil futures for November, which expire on Friday, fell 10 cents, or 0.1%, to $88.39 a barrel at 0303 GMT, after falling 83 cents the previous session. The more actively traded December contract remained steady at $87.18.

WTI crude futures in the United States for November delivery increased 0.1%, or 9 cents, to $81.32 per barrel, after sliding 92 cents the previous day.

"A deteriorating crude demand outlook won't allow oil to rally until energy traders are confident that OPEC+ will slash output at the October 5th meeting," Edward Moya, senior analyst with OANDA, stated in a client note.

"The weakness with crude prices is somewhat limited as the dollar softens going into quarter-end."

After reaching nine-month lows earlier in the week, both Brent and WTI are on course to increase by nearly 3% for the week, their first weekly advance since August.

The decline in the dollar from 20-year highs earlier in the week supported oil prices. A weakening dollar makes dollar-denominated oil more affordable to customers holding foreign currencies, increasing demand for the commodity.

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