Oil prices fell significantly on May 05 (Monday) after OPEC+ announced plans to boost oil production by 411,000 barrels per day (bpd) in June, compared to May levels, as part of a plan to gradually unwind voluntary output cuts, the group said Saturday following a virtual meeting. The decision to increase output sparked concerns over a potential oversupply, further exacerbating fears of fragile global demand.<o:p></o:p>
International benchmark Brent crude futures were trading at $59.14 per barrel as of 04.09 GMT, a 3.51 per cent decline on the previous close, while the US benchmark West Texas Intermediate (WTI) &nbsp;dipped by 3.76 per cent to $56.1 per barrel. However, key benchmarks later recovered some ground with Brent futures trading at $60.17 per barrel, down 1.83 per cent as of 07.27 GMT, and WTI futures declining by 1.85 per cent to $57.21 per barrel, down from $58.10 at the close of the prior session.<o:p></o:p>
<h2 class="MsoNormal">OPEC&rsquo;s oil supply<o:p></o:p></h2>
The OPEC+ group announced that eight of its members&mdash;Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman&mdash;would increase oil output starting June. This marks the second consecutive month of production hikes, following a decision to unwind voluntary production cuts that had been in place for months.<o:p></o:p>
The move is seen as a response to supply concerns, as the global oil market has experienced significant volatility in recent months, with prices falling nearly 30 per cent over the past year and about 20 per cent in 2025. Despite this, OPEC+ pointed to strong fundamentals as the reason behind the decision, although analysts have speculated that the increase could also be aimed at improving relations with the US, particularly ahead of President Donald Trump's scheduled visit to the West Asia later this month.<o:p></o:p>
<h2 class="MsoNormal">Oil and paint companies profit<o:p></o:p></h2>
The development led to 2 per cent to 3 per cent rally in the shares of oil marketing companies, paint manufacturers, and tyre companies. Following the plunge in crude, shares of Bharat Petroleum traded at ₹323 a piece, up by 4.1 per cent, Hindustan Petroleum up 5.6 per cent and Indian Oil Corporation up 3.9 per cent.<o:p></o:p>
Apart from these shares of paint companies like Asian Paints, Berger Paints, Indigo Paints, and Kansai Nerolac also traded 1 per cent to 2 per cent higher in the morning session.<o:p></o:p>
(With inputs from agencies)

Business & Economy: Oil prices saw a sharp fall after the eight-member OPEC+ announced plans to boost oil production by 411,000 barrels per day in June

Oil prices fell significantly on May 05 (Monday) after OPEC+ announced plans to boost oil production by 411,000 barrels per day (bpd) in June, compared to May levels, as part of a plan to gradually unwind voluntary output cuts, the group said Saturday following a virtual meeting. The decision to increase output sparked concerns over a potential oversupply, further exacerbating fears of fragile global demand. International benchmark Brent crude futures were trading at $59.14 per barrel as of 04.09 GMT, a 3.51 per cent decline on the previous close, while the US benchmark West Texas Intermediate (WTI) dipped by 3.76 per cent to $56.1 per barrel. However, key benchmarks later recovered some ground with Brent futures trading at $60.17 per barrel, down 1.83 per cent as of 07.27 GMT, and WTI futures declining by 1.85 per cent to $57.21 per barrel, down from $58.10 at the close of the prior session. OPEC’s oil supply The OPEC+ group announced that eight of its members—Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman—would increase oil output starting June. This marks the second consecutive month of production hikes, following a decision to unwind voluntary production cuts that had been in place for months. The move is seen as a response to supply concerns, as the global oil market has experienced significant volatility in recent months, with prices falling nearly 30 per cent over the past year and about 20 per cent in 2025. Despite this, OPEC+ pointed to strong fundamentals as the reason behind the decision, although analysts have speculated that the increase could also be aimed at improving relations with the US, particularly ahead of President Donald Trump's scheduled visit to the West Asia later this month. Oil and paint companies profit The development led to 2 per cent to 3 per cent rally in the shares of oil marketing companies, paint manufacturers, and tyre companies. Following the plunge in crude, shares of Bharat Petroleum traded at ₹323 a piece, up by 4.1 per cent, Hindustan Petroleum up 5.6 per cent and Indian Oil Corporation up 3.9 per cent. Apart from these shares of paint companies like Asian Paints, Berger Paints, Indigo Paints, and Kansai Nerolac also traded 1 per cent to 2 per cent higher in the morning session. (With inputs from agencies)

Oil sees a sharp decline as OPEC+ decides to increase supply

Russia and Saudi Arabia, on Tuesday (September 5), said that they would extend the voluntary oil cuts until the end of this year. This has sent the price of Brent crude to a 10-month high, months after Saudi Arabia, the world’s biggest crude exporter, first announced the cuts as well as sparked worries among investors about potential shortages during peak winter demand.

<h2>Saudi Arabia announces oil export cuts</h2>

The announcement was made by Saudi Arabia’s energy ministry which said that they are extending the oil production cut to one million barrels per day, which first took effect in July, for “another three months until the end of December 2023.”&nbsp;

This comes after the oil production cuts were first announced after a June meeting of the 23-nation OPEC+ alliance, which also includes Russia. This recent announcement also comes after a statement in early August said that the cut would last through September and possibly “deepened”, but that was not the case on Tuesday.&nbsp;

ALSO READ |&nbsp;<a href="https://www.wionews.com/world/saudi-arabia-announces-voluntary-oil-cut-of-1-mn-barrels-per-day-600480">Saudi Arabia announces further voluntary oil production cut of 1mn barrels per day</a>

The decision will be “reviewed monthly to consider deepening the cut or increasing production,” said the kingdom’s energy ministry. Notably, while Saudi Arabia has reported its daily capacity as 12 million bpd, currently their daily production stands at approximately nine million bpd.&nbsp;

<h2>What did Russia say?</h2>

Russia also said that it would extend its oil export cuts of 300,000 barrels per day until the end of 2023 to “maintain stability” on markets, as per AFP.&nbsp;

Deputy Prime Minister Alexander Novak announcing the extension said that they would also review the cuts monthly and take a call on whether to deepen them or whether production should be increased “depending on the global market situation.”&nbsp;

ALSO READ |&nbsp;<a href="https://www.wionews.com/business-economy/saudi-arabia-opec-members-announce-oil-production-cuts-by-over-a-million-bpd-578386">Saudi Arabia, OPEC+ members announce oil production cuts by over a million bpd</a>

<h2>Announcement affects markets</h2>

Brent crude futures rose by $1.04 or 1.2 per cent and settled at $90.04 a barrel, closing above the $90 mark for the first time since November 2022, according to Reuters.&nbsp;

While investors had expected Russia and Saudi Arabia to extend the voluntary cuts into October, a three-month extension came as a shock.

“These bullish moves significantly tighten the global oil market and can only result in one thing: higher oil prices worldwide,” said Jorge Leon, senior vice president at Rystad Energy, as quoted by Reuters.&nbsp;

ALSO READ |&nbsp;<a href="https://www.wionews.com/business-economy/global-oil-demand-to-reach-an-all-time-high-this-year-as-china-re-opens-iea-553899">Global oil demand to reach an all-time high this year as China re-opens, says IEA</a>

Last year, OPEC+ agreed to reduce output by two million barrels per day, a decision which drew criticism from the United States who accused Saudi Arabia of supporting Russia’s war in Ukraine.&nbsp;

UBS now reportedly expects Brent crude to rise to $95 a barrel by the end of 2023.&nbsp;

(With inputs from agencies)&nbsp; 
 
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Russia and Saudi Arabia, on Tuesday (September 5), said that they would extend the voluntary oil cuts until the end of this year. This has sent the price of Brent crude to a 10-month high, months after Saudi Arabia, the world’s biggest crude exporter, first announced the cuts as well as sparked worries among investors about potential shortages during peak winter demand.

Russia and Saudi Arabia, on Tuesday (September 5), said that they would extend the voluntary oil cuts until the end of this year. This has sent the price of Brent crude to a 10-month high, months after Saudi Arabia, the world’s biggest crude exporter, first announced the cuts as well as sparked worries among investors about potential shortages during peak winter demand. Saudi Arabia announces oil export cuts The announcement was made by Saudi Arabia’s energy ministry which said that they are extending the oil production cut to one million barrels per day, which first took effect in July, for “another three months until the end of December 2023.” This comes after the oil production cuts were first announced after a June meeting of the 23-nation OPEC+ alliance, which also includes Russia. This recent announcement also comes after a statement in early August said that the cut would last through September and possibly “deepened”, but that was not the case on Tuesday. ALSO READ | Saudi Arabia announces further voluntary oil production cut of 1mn barrels per day The decision will be “reviewed monthly to consider deepening the cut or increasing production,” said the kingdom’s energy ministry. Notably, while Saudi Arabia has reported its daily capacity as 12 million bpd, currently their daily production stands at approximately nine million bpd. What did Russia say? Russia also said that it would extend its oil export cuts of 300,000 barrels per day until the end of 2023 to “maintain stability” on markets, as per AFP. Deputy Prime Minister Alexander Novak announcing the extension said that they would also review the cuts monthly and take a call on whether to deepen them or whether production should be increased “depending on the global market situation.” ALSO READ | Saudi Arabia, OPEC+ members announce oil production cuts by over a million bpd Announcement affects markets Brent crude futures rose by $1.04 or 1.2 per cent and settled at $90.04 a barrel, closing above the $90 mark for the first time since November 2022, according to Reuters. While investors had expected Russia and Saudi Arabia to extend the voluntary cuts into October, a three-month extension came as a shock. “These bullish moves significantly tighten the global oil market and can only result in one thing: higher oil prices worldwide,” said Jorge Leon, senior vice president at Rystad Energy, as quoted by Reuters. ALSO READ | Global oil demand to reach an all-time high this year as China re-opens, says IEA Last year, OPEC+ agreed to reduce output by two million barrels per day, a decision which drew criticism from the United States who accused Saudi Arabia of supporting Russia’s war in Ukraine. UBS now reportedly expects Brent crude to rise to $95 a barrel by the end of 2023. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Russia and Saudi Arabia extend oil export cuts to end of 2023; oil prices soar

The government today hiked petrol and diesel prices once again on Monday.

<a href="https://www.wionews.com/business-economy/petrol-diesel-prices-hiked-again-in-india-305290">Also Read:&nbsp;Petrol, diesel prices hiked again in India</a>

Petrol was increased by Rs 0.48 a litre and diesel prices have now gone up Rs 0.59 a litre. Petrol will cost Rs 76.26 a litre in the national capital and diesel is set to cost Rs 74.62 a litre.

Last week the government had hiked prices over six days with petrol prices going up by Rs 3.31 and diesel prices by Rs 3.42.

The government's move comes even as international oil prices dropped more than two per cent over fears of a second wave of coronavirus in the United States.

Brent crude futures fell 66 cents at $38.07 a barrel while US West Texas Intermediate (WTI) crude futures fell 81 cents to $35.45 a barrel.

OPEC had earlier decided to cut supplies by 9.7 million barrels per day nearly about 10 per cent due to falling demand as a result of the coronavirus pandemic sweeping the world with major economies under lockdown.

The government today hiked petrol and diesel prices once again on Monday. Also Read: Petrol, diesel prices hiked again in India Petrol was increased by Rs 0.48 a litre and diesel prices have now gone up Rs 0.

The government today hiked petrol and diesel prices once again on Monday. Also Read: Petrol, diesel prices hiked again in India Petrol was increased by Rs 0.48 a litre and diesel prices have now gone up Rs 0.59 a litre. Petrol will cost Rs 76.26 a litre in the national capital and diesel is set to cost Rs 74.62 a litre. Last week the government had hiked prices over six days with petrol prices going up by Rs 3.31 and diesel prices by Rs 3.42. The government's move comes even as international oil prices dropped more than two per cent over fears of a second wave of coronavirus in the United States. Brent crude futures fell 66 cents at $38.07 a barrel while US West Texas Intermediate (WTI) crude futures fell 81 cents to $35.45 a barrel. OPEC had earlier decided to cut supplies by 9.7 million barrels per day nearly about 10 per cent due to falling demand as a result of the coronavirus pandemic sweeping the world with major economies under lockdown.

Petrol, diesel prices hiked again in India

Oil prices fell on Monday after Iran described emergency talks on a multi-party nuclear agreement with a group of signatories as "constructive", suggesting an easing of tensions in the Middle East.

Brent crude futures were up 23 cents, or 0.4%, at $63.23 a barrel by 0054 GMT. Prices rose 1.6% last week.

US&nbsp;West Texas Intermediate crude was down by 12 cents, or 0.2%, at $56.08 a barrel. WTI gained 1% last week.

An emergency meeting with parties to Iran's 2015 nuclear deal was constructive but there are unresolved issues and Tehran will continue to reduce its nuclear commitments if Europeans fail to salvage the pact, Iranian official Abbas Araqchi said on Sunday.

"The atmosphere was constructive. Discussions were good. I cannot say that we resolved everything, I can say there are lots of commitments," Araqchi, the senior Iranian nuclear negotiator, told reporters after the meeting in Vienna.

The meeting did not include the United States, which pulled out of the agreement in May 2018 and slapped sanctions back on Iranian oil exports.

Still, tensions remain high around the Strait of Hormuz, the world's most important oil passageway, as Iran refused to release a British-flagged tanker it seized but granted India consular access to 18 Indian crew members.

Denmark welcomed the British government's proposal for a European-led naval mission to ensure safe shipping through the strait.

The United States is also working on a multinational maritime security initiative in the Gulf.

Traders and investors are also focussed this week on meetings of major central banks including the US&nbsp;Federal Reserve, which is expected to lower interest rates.

US&nbsp;economic growth slowed less than expected in the second quarter with a boom in consumer spending, strengthening the outlook for oil consumption.

Growth outside the United States is slowing faster due partly to the impact of the US-China trade war. Senior US&nbsp;and Chinese negotiators are meeting this week for the first time since trade talks broke down in May.

A positive outcome may boost crude prices, analysts said.

Oil prices fell on Monday after Iran described emergency talks on a multi-party nuclear agreement with a group of signatories as "constructive", suggesting an easing of tensions in the Middle East.

Oil prices fell on Monday after Iran described emergency talks on a multi-party nuclear agreement with a group of signatories as "constructive", suggesting an easing of tensions in the Middle East. Brent crude futures were up 23 cents, or 0.4%, at $63.23 a barrel by 0054 GMT. Prices rose 1.6% last week. US West Texas Intermediate crude was down by 12 cents, or 0.2%, at $56.08 a barrel. WTI gained 1% last week. An emergency meeting with parties to Iran's 2015 nuclear deal was constructive but there are unresolved issues and Tehran will continue to reduce its nuclear commitments if Europeans fail to salvage the pact, Iranian official Abbas Araqchi said on Sunday. "The atmosphere was constructive. Discussions were good. I cannot say that we resolved everything, I can say there are lots of commitments," Araqchi, the senior Iranian nuclear negotiator, told reporters after the meeting in Vienna. The meeting did not include the United States, which pulled out of the agreement in May 2018 and slapped sanctions back on Iranian oil exports. Still, tensions remain high around the Strait of Hormuz, the world's most important oil passageway, as Iran refused to release a British-flagged tanker it seized but granted India consular access to 18 Indian crew members. Denmark welcomed the British government's proposal for a European-led naval mission to ensure safe shipping through the strait. The United States is also working on a multinational maritime security initiative in the Gulf. Traders and investors are also focussed this week on meetings of major central banks including the US Federal Reserve, which is expected to lower interest rates. US economic growth slowed less than expected in the second quarter with a boom in consumer spending, strengthening the outlook for oil consumption. Growth outside the United States is slowing faster due partly to the impact of the US-China trade war. Senior US and Chinese negotiators are meeting this week for the first time since trade talks broke down in May. A positive outcome may boost crude prices, analysts said.

Oil falls after 'constructive' talks on Iran's nuclear deal

<a href="http://www.wionews.com/world/oil-prices-rise-as-opec-output-cuts-seen-deeper-than-previously-expected-185630">Oil prices</a> edged up on Monday after evidence that a recent fall to 15-month lows may be affecting output in the United States, the world`s largest producer, although concern about the outlook for demand tempered gains.

Brent crude futures were up 12 cents at $53.94 a barrel by 0858 GMT, while US crude futures lost 3 cents to $45.56.

Brent fell 11 per cent last week and hit its lowest since September 2017, while US&nbsp;futures slid to their lowest since July 2017, bringing the decline in the two contracts to 35 per cent so far this quarter.

The price drop has caused US&nbsp;shale oil producers to curtail drilling plans for next year.&nbsp;

The boom in shale output has made the United States the world's largest oil producer, overtaking Saudi Arabia and Russia.

Physical prices for Brent have also fallen in the last six weeks, driven by a drop in demand from Chinese refiners in particular, which has weighed on the value of barrels of anything from the North Sea to Nigerian crude.&nbsp;

"The recent weakness in the physical Brent structure can be attributed to a broader easing of purchases by Asian refiners at this point, with lower-end-Q1 intake weighing on spot assessments, and we can expect this pressure to carry through over the coming weeks," consultancy JBC Energy said in a report.&nbsp;

Still, the macroeconomic picture and its impact on oil demand continue to pressure prices. Global equities have fallen nearly 9.5 per cent so far in December, their biggest one-month slide since September 2011, when the eurozone debt crisis was unfolding.&nbsp;

The trade dispute between the United States and China and the prospect of a rapid rise in US interest rates have brought global stocks down from this year`s record highs and ignited concern that oil demand will be insufficient to soak up any excess supply.

The <a href="http://www.wionews.com/world/oil-prices-rise-on-asian-stock-rally-opec-led-cuts-183404">Organization of the Petroleum Exporting Countries</a> and allies led by Russia agreed this month to cut oil production by 1.2 million barrels per day from January.

Should that fail to balance the market, OPEC and its allies will hold an extraordinary meeting, United Arab Emirates Energy Minister Suhail al-Mazrouei said on Sunday.

"Oil ministers are already taking to the airwaves with a `price stability at all cost` mantra," said Stephen Innes, head of trading for Asia-Pacific at futures brokerage Oanda in Singapore.

Oil prices edged up on Monday after evidence that a recent fall to 15-month lows may be affecting output in the United States, the world`s largest producer, although concern about the outlook for demand tempered gains.

Oil prices edged up on Monday after evidence that a recent fall to 15-month lows may be affecting output in the United States, the world`s largest producer, although concern about the outlook for demand tempered gains. Brent crude futures were up 12 cents at $53.94 a barrel by 0858 GMT, while US crude futures lost 3 cents to $45.56. Brent fell 11 per cent last week and hit its lowest since September 2017, while US futures slid to their lowest since July 2017, bringing the decline in the two contracts to 35 per cent so far this quarter. The price drop has caused US shale oil producers to curtail drilling plans for next year. The boom in shale output has made the United States the world's largest oil producer, overtaking Saudi Arabia and Russia. Physical prices for Brent have also fallen in the last six weeks, driven by a drop in demand from Chinese refiners in particular, which has weighed on the value of barrels of anything from the North Sea to Nigerian crude. "The recent weakness in the physical Brent structure can be attributed to a broader easing of purchases by Asian refiners at this point, with lower-end-Q1 intake weighing on spot assessments, and we can expect this pressure to carry through over the coming weeks," consultancy JBC Energy said in a report. Still, the macroeconomic picture and its impact on oil demand continue to pressure prices. Global equities have fallen nearly 9.5 per cent so far in December, their biggest one-month slide since September 2011, when the eurozone debt crisis was unfolding. The trade dispute between the United States and China and the prospect of a rapid rise in US interest rates have brought global stocks down from this year`s record highs and ignited concern that oil demand will be insufficient to soak up any excess supply. The Organization of the Petroleum Exporting Countries and allies led by Russia agreed this month to cut oil production by 1.2 million barrels per day from January. Should that fail to balance the market, OPEC and its allies will hold an extraordinary meeting, United Arab Emirates Energy Minister Suhail al-Mazrouei said on Sunday. "Oil ministers are already taking to the airwaves with a `price stability at all cost` mantra," said Stephen Innes, head of trading for Asia-Pacific at futures brokerage Oanda in Singapore.

Oil prices inch up, but concern over demand limits gains

Brent crude oil prices rose back above $80 a barrel on Monday as markets were expected to tighten once US sanctions against Iran's crude exports are implemented next month.

Benchmark Brent crude oil futures were at $80.26 a barrel at 0646 GMT, up 48 cents, or 0.6 per cent, above their last close.

US West Texas Intermediate (WTI) crude futures were at $69.60 a barrel, up 48 cents, or 0.7 per cent.

The US sanctions on the oil sector in Iran, the third-largest producer in the Organization of the Petroleum Exporting Countries (OPEC), are set to start on November 4. The United States under President Donald Trump is trying to reduce Iranian oil exports to zero to force the country to renegotiate an agreement on its nuclear programme.

US Treasury Secretary Steven Mnuchin told Reuters on Sunday that it would be harder for countries to get sanction waivers than it was during the previous Obama administration, when several countries, especially in Asia, received them.

OPEC agreed in June to boost supply to make up for the expected disruption to Iranian exports.

However, an internal document reviewed by Reuters suggested OPEC is struggling to add barrels as an increase in Saudi supply was offset by declines elsewhere.

Fatih Birol, executive director of the International Energy Agency (IEA), said on Monday that other producers may struggle to fully make up for the expected Iran disruption, and that oil prices could rise further.

Some relief may come from North America, where U.S. drillers added four oil rigs in the week to October 19, bringing the total count to 873, Baker Hughes energy services firm said on Friday, raising the rig count to the highest level since March 2015.

The US rig count is an early indicator of future output. With activity increasing after months of stagnation, US crude production is also expected to continue to rise.

Reflecting rising US crude exports, the Intercontinental Exchange said its new Permian West Texas Intermediate crude futures contract deliverable in Houston, Texas, will begin trading on Monday.

In addition to the potential for rising oil supply, the ongoing Sino-American trade dispute is expected to start dragging on demand.

"The full impact of the US-China trade war will hit markets in 2019 and could act as a considerable drag on oil demand next year, raising the possibility of the market returning to surplus," said Emirates NBD bank in a note.

Shipping brokerage Eastport said "Chinese manufacturing is beginning to slow" and that "Trump's proposal of slapping ... tariffs on additional ... Chinese goods from 1 January would be a further drag on trade."

Brent crude oil prices rose back above $80 a barrel on Monday as markets were expected to tighten once US sanctions against Iran's crude exports are implemented next month.

Brent crude oil prices rose back above $80 a barrel on Monday as markets were expected to tighten once US sanctions against Iran's crude exports are implemented next month. Benchmark Brent crude oil futures were at $80.26 a barrel at 0646 GMT, up 48 cents, or 0.6 per cent, above their last close. US West Texas Intermediate (WTI) crude futures were at $69.60 a barrel, up 48 cents, or 0.7 per cent. The US sanctions on the oil sector in Iran, the third-largest producer in the Organization of the Petroleum Exporting Countries (OPEC), are set to start on November 4. The United States under President Donald Trump is trying to reduce Iranian oil exports to zero to force the country to renegotiate an agreement on its nuclear programme. US Treasury Secretary Steven Mnuchin told Reuters on Sunday that it would be harder for countries to get sanction waivers than it was during the previous Obama administration, when several countries, especially in Asia, received them. OPEC agreed in June to boost supply to make up for the expected disruption to Iranian exports. However, an internal document reviewed by Reuters suggested OPEC is struggling to add barrels as an increase in Saudi supply was offset by declines elsewhere. Fatih Birol, executive director of the International Energy Agency (IEA), said on Monday that other producers may struggle to fully make up for the expected Iran disruption, and that oil prices could rise further. Some relief may come from North America, where U.S. drillers added four oil rigs in the week to October 19, bringing the total count to 873, Baker Hughes energy services firm said on Friday, raising the rig count to the highest level since March 2015. The US rig count is an early indicator of future output. With activity increasing after months of stagnation, US crude production is also expected to continue to rise. Reflecting rising US crude exports, the Intercontinental Exchange said its new Permian West Texas Intermediate crude futures contract deliverable in Houston, Texas, will begin trading on Monday. In addition to the potential for rising oil supply, the ongoing Sino-American trade dispute is expected to start dragging on demand. "The full impact of the US-China trade war will hit markets in 2019 and could act as a considerable drag on oil demand next year, raising the possibility of the market returning to surplus," said Emirates NBD bank in a note. Shipping brokerage Eastport said "Chinese manufacturing is beginning to slow" and that "Trump's proposal of slapping ... tariffs on additional ... Chinese goods from 1 January would be a further drag on trade."

Crude oil prices rise as US sanctions on Iran loom

Oil prices rose on Thursday, lifted by looming US sanctions against major crude exporter Iran.

Brent crude futures &lt;LCOc1&gt; were at $82.04 per barrel at 0104 GMT, up by 70 cents, or 0.9 per cent from their last close.

US West Texas Intermediate (WTI) crude futures &lt;CLc1&gt; were at $72.35 a barrel, up 78 cents, or 1.1 per cent from their last settlement.

Traders said oil markets were tightening ahead of Washington's planned sanctions on Iran's petroleum industry from November 4.

At its 2018 peak, Iran exported around 3 million barrels per day (bpd) of crude oil, equivalent to 3 per cent of global consumption, and the Organization of the Petroleum Exporting Countries (OPEC) has little spare capacity to make up for an expected shortfall in Iranian exports.

Reflecting expectations of lower supply from the Middle East, Oman crude futures on the Dubai Mercantile Exchange touched their highest in four years on Wednesday, briefly jumping above $90 a barrel.

"Oil prices remain in the Bulls domain amid concern that US sanctions on Iranian crude oil exports will result in much tighter physical market conditions once they take effect in November," said Stephen Innes, head of trading for Asia/Pacific at futures brokerage OANDA in Singapore.

"Markets could still be underestimating the supply crunch from Iran sanctions," he added.

While global oil markets tighten, supply in the United States is ample, thanks to rising output.

US crude production &lt;C-OUT-T-EIA&gt; hit a record 11.1 million bpd in the week ending Sept. 21, according to data from the Energy Information Administration (EIA).

That's an increase of almost a third since mid-2016.

Commercial crude stocks rose by 1.85 million barrels, to 395.99 million barrels, the EIA data showed.

Oil prices rose on Thursday, lifted by looming US sanctions against major crude exporter Iran. Brent crude futures <LCOc1> were at $82.04 per barrel at 0104 GMT, up by 70 cents, or 0.

Oil prices rose on Thursday, lifted by looming US sanctions against major crude exporter Iran. Brent crude futures <LCOc1> were at $82.04 per barrel at 0104 GMT, up by 70 cents, or 0.9 per cent from their last close. US West Texas Intermediate (WTI) crude futures <CLc1> were at $72.35 a barrel, up 78 cents, or 1.1 per cent from their last settlement. Traders said oil markets were tightening ahead of Washington's planned sanctions on Iran's petroleum industry from November 4. At its 2018 peak, Iran exported around 3 million barrels per day (bpd) of crude oil, equivalent to 3 per cent of global consumption, and the Organization of the Petroleum Exporting Countries (OPEC) has little spare capacity to make up for an expected shortfall in Iranian exports. Reflecting expectations of lower supply from the Middle East, Oman crude futures on the Dubai Mercantile Exchange touched their highest in four years on Wednesday, briefly jumping above $90 a barrel. "Oil prices remain in the Bulls domain amid concern that US sanctions on Iranian crude oil exports will result in much tighter physical market conditions once they take effect in November," said Stephen Innes, head of trading for Asia/Pacific at futures brokerage OANDA in Singapore. "Markets could still be underestimating the supply crunch from Iran sanctions," he added. While global oil markets tighten, supply in the United States is ample, thanks to rising output. US crude production <C-OUT-T-EIA> hit a record 11.1 million bpd in the week ending Sept. 21, according to data from the Energy Information Administration (EIA). That's an increase of almost a third since mid-2016. Commercial crude stocks rose by 1.85 million barrels, to 395.99 million barrels, the EIA data showed.

Oil prices rise ahead of US sanctions against Iran

Oil prices on Thursday hit their highest since December, 2014, pushed up after U.S. crude inventories posted a 10th straight week of declines and as the dollar continued to weaken.

Brent crude futures, the international benchmark for oil prices, opened at $70.95 a barrel on Thursday, their highest level since early December, 2014. They had edged down to $70.86 by 0105 GMT, which was still up 33 cents, or 0.5 percent, from their last close.

U.S. West Texas Intermediate (WTI) crude futures climbed to $66.22 per barrel in early trading, also the highest level since early December, 2014. They had dipped back to $66.07 a barrel by 0104 GMT, still up 46 cents, or 0.7 percent, from their last settlement.

Both crude benchmarks are up by almost 60 percent since the middle of last year.

Price support has also been coming from supply restrictions led by a group of producers around the Organization of the Petroleum Exporting Countries (OPEC) and Russia, which started last year and are set to last throughout 2018.

&quot;The Saudi&#39;s and Russians continue to work together to talk the oil market higher and last night, the countries&#39; two oil ministers said they were working together on other longer-term projects as well,&quot; said Greg McKenna, chief market strategist at futures brokerage AxiTrader.

&quot;That, and the USD fall, along with another inventory draw combined to drive (crude) up,&quot; he added.

U.S. crude inventories fell 1.1 million barrels in the week to Jan. 19, to 411.58 million barrels, the Energy Information Administration (EIA) said on Wednesday.

That&#39;s the lowest seasonal level since 2015 and below the U.S. five-year average around 420 million barrels.

In foreign exchange markets, the U.S. dollar hit its lowest level since December, 2014 against a basket of other leading currencies.

A weakening dollar often results in financial traders taking investment out of currency markets and into commodity futures like crude.

Analysts said that rising oil prices would likely start to have an inflationary effect.

&quot;Higher oil prices will eventually be reflected in higher consumer prices as the costs of transport of most goods will rise,&quot; said William O&#39;Loughlin, investment analyst at Australia&#39;s Rivkin Securities.

Looming over the generally bullish oil market has been U.S. oil production, which is edging ever more closely towards 10 million barrels per day (bpd), hitting 9.88 million bpd last week.

U.S. output has grown by more than 17 percent since mid-2016, and is now on par with that of top exporter Saudi Arabia.

Only Russia produces more, averaging 10.98 million bpd in 2017.

US West Texas Intermediate (WTI) crude futures climbed to $66.22 per barrel in early trading, also the highest level since early December, 2014.

Oil prices on Thursday hit their highest since December, 2014, pushed up after U.S. crude inventories posted a 10th straight week of declines and as the dollar continued to weaken. Brent crude futures, the international benchmark for oil prices, opened at $70.95 a barrel on Thursday, their highest level since early December, 2014. They had edged down to $70.86 by 0105 GMT, which was still up 33 cents, or 0.5 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures climbed to $66.22 per barrel in early trading, also the highest level since early December, 2014. They had dipped back to $66.07 a barrel by 0104 GMT, still up 46 cents, or 0.7 percent, from their last settlement. Both crude benchmarks are up by almost 60 percent since the middle of last year. Price support has also been coming from supply restrictions led by a group of producers around the Organization of the Petroleum Exporting Countries (OPEC) and Russia, which started last year and are set to last throughout 2018. "The Saudi's and Russians continue to work together to talk the oil market higher and last night, the countries' two oil ministers said they were working together on other longer-term projects as well," said Greg McKenna, chief market strategist at futures brokerage AxiTrader. "That, and the USD fall, along with another inventory draw combined to drive (crude) up," he added. U.S. crude inventories fell 1.1 million barrels in the week to Jan. 19, to 411.58 million barrels, the Energy Information Administration (EIA) said on Wednesday. That's the lowest seasonal level since 2015 and below the U.S. five-year average around 420 million barrels. In foreign exchange markets, the U.S. dollar hit its lowest level since December, 2014 against a basket of other leading currencies. A weakening dollar often results in financial traders taking investment out of currency markets and into commodity futures like crude. Analysts said that rising oil prices would likely start to have an inflationary effect. "Higher oil prices will eventually be reflected in higher consumer prices as the costs of transport of most goods will rise," said William O'Loughlin, investment analyst at Australia's Rivkin Securities. Looming over the generally bullish oil market has been U.S. oil production, which is edging ever more closely towards 10 million barrels per day (bpd), hitting 9.88 million bpd last week. U.S. output has grown by more than 17 percent since mid-2016, and is now on par with that of top exporter Saudi Arabia. Only Russia produces more, averaging 10.98 million bpd in 2017.

Oil hits highest since late 2014 on US crude inventory drop, weaker dollar

Oil prices fell nearly one percent on Monday in response to growing evidence that US&nbsp;production is rising and as some investors unwound positions ahead of OPEC&#39;s first report on compliance with its deal to cut production.

Global benchmark Brent crude futures were down 45 cents at $56.25 a barrel at 0947 GMT and touched a session low of $56.04 a barrel. West Texas Intermediate (WTI) crude futures were down 41 cents at $53.45 a barrel and traded as low as $53.86 earlier in the day.

&quot;Bulls are liquidating ahead of the release of the monthly OPEC report due out shortly and yet another increase in US rig counts is also playing part in the weakness,&quot; said Tamas Varga, senior analyst at London brokerage PVM Oil Associates.

US oil drillers have added most drilling rigs since 2012 over the past month, bringing the total count to 591 rigs, the most since October 2015, Baker Hughes said in its weekly report.

This rise in US activity comes just as some oil producers are reducing output to reverse global oversupply in a bid to prop up prices.

The Organization of the Petroleum Exporting Countries (OPEC) and other producers, including Russia, agreed late last year to cut output by almost 1.8 million barrels per day (bpd) during the first half of 2017.

The group will publish its first assessment of compliance with the deal on Monday.

Sources told Reuters last week compliance according to OPEC calculations was 92 per cent in January, while the International Energy Agency said the rate was 90 per cent.

Kuwait&#39;s oil minister said on Monday that OPEC compliance was 92 per cent while that of non-OPEC producers was 50 per cent.

(Reuters)

Global benchmark Brent crude futures were down 45 cents at $56.25 a barrel at 0947 GMT and touched a session low of $56.04 a barrel

Oil prices fell nearly one percent on Monday in response to growing evidence that US production is rising and as some investors unwound positions ahead of OPEC's first report on compliance with its deal to cut production. Global benchmark Brent crude futures were down 45 cents at $56.25 a barrel at 0947 GMT and touched a session low of $56.04 a barrel. West Texas Intermediate (WTI) crude futures were down 41 cents at $53.45 a barrel and traded as low as $53.86 earlier in the day. "Bulls are liquidating ahead of the release of the monthly OPEC report due out shortly and yet another increase in US rig counts is also playing part in the weakness," said Tamas Varga, senior analyst at London brokerage PVM Oil Associates. US oil drillers have added most drilling rigs since 2012 over the past month, bringing the total count to 591 rigs, the most since October 2015, Baker Hughes said in its weekly report. This rise in US activity comes just as some oil producers are reducing output to reverse global oversupply in a bid to prop up prices. The Organization of the Petroleum Exporting Countries (OPEC) and other producers, including Russia, agreed late last year to cut output by almost 1.8 million barrels per day (bpd) during the first half of 2017. The group will publish its first assessment of compliance with the deal on Monday. Sources told Reuters last week compliance according to OPEC calculations was 92 per cent in January, while the International Energy Agency said the rate was 90 per cent. Kuwait's oil minister said on Monday that OPEC compliance was 92 per cent while that of non-OPEC producers was 50 per cent. (Reuters)

Oil falls on rise in US drilling, selling ahead of OPEC report