Oil edges lower as suppliers try to hold line on output cuts

9Views

August 18, 2020

TOKYO Oil prices edged lower on Tuesday, mostly holding onto overnight gains after OPEC+ said the producer grouping is almost fully complying with output cuts to support prices amid a drop in demand for fuels due to the coronavirus pandemic.

Brent crude was down 6 cents, or 0.1%, at $45.31 a barrel by 0027 GMT, after gaining 1.3% on Monday.

U.S. crude was down 8 cents, or 0.2%, at $42.81 a barrel, having risen 2.1% in the previous session.

Compliance with OPEC+ oil output cuts was seen at around 97% in July, two OPEC+ sources told Reuters. The oil producers curbed output by record levels to reduce worldwide inventories, as demand collapsed from the pandemic.

Still, the Organization of the Petroleum Exporting Countries (OPEC) and allies known as OPEC+ in August reduced their agreed cuts to 7.7 million barrels per day (bpd) from 9.7 million bpd previously.

“The producer club cannot afford prices to slump too far, as its members’ economies rely heavily on the revenue generated by petroleum exports,” Eurasia Group said in a note.

But it noted that “U.S. producers are also taking advantage of supply cuts led by OPEC and Russia.”

Also Watch

NEET, JEE Exams To Be Held In September As SC Dismisses Plea For Postponement | CRUX

The U.S. Energy Information Administration last week reduced its global oil demand forecast, suggesting a smaller than previously expected reduction in global inventories.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Array
(
[videos] => Array
(
[0] => Array
(
[id] => 5f3abfc97c39367400f8cdf2
[youtube_id] => S37xH3eZ3aU
Oil edges lower as suppliers try to hold line on output cuts => NEET, JEE Exams To Be Held In September As SC Dismisses Plea For Postponement | CRUX
)

[1] => Array
(
[id] => 5f3abb517c39367400f8cd50
[youtube_id] => zdaFWUGVDho
Oil edges lower as suppliers try to hold line on output cuts => Is A Second Wave Of COVID-19 Coming ? | Brass Tacks With Zakka Jacob | CNN News18
)

)

[query] => https://pubstack.nw18.com/pubsync/v1/api/videos/recommended?source=n18english&channels=5d95e6c378c2f2492e2148a2,5d95e6c278c2f2492e214884,5d96f74de3f5f312274ca307&categories=5d95e6d7340a9e4981b2e10a&publish_min=2020-08-15T07:17:06.000Z&publish_max=2020-08-18T07:17:06.000Z&sort_by=date-relevance&order_by=0&limit=2
)

Oil edges lower as suppliers try to hold line on output cuts

Also Watch

Speak Your Mind

LEAVE A REPLY Cancel reply

Get in Touch

Recommend for You

Oh hi there It’s nice to meet you.

Subscribe and receive our weekly newsletter packed with awesome articles that really matters to you!

You might also like

EDITOR PICKS

POPULAR POSTS

POPULAR CATEGORY

About Us

Follow Us

Support Us & Be a Patreon

Add QNewsHub to your Homescreen!

Oh hi there
It’s nice to meet you.