Business News Asia
Crude oil prices fell slightly ahead of the important OPEC+ meeting next week.
WTI crude futures were down 0.7% at $77.86 a barrel.
Brent crude futures were down 0.6% at $81.79 a barrel.
The meeting on December 2 is under a special sign, as OPEC+ has received pressure from the U.S. government to adjust oil production.
Other countries are likely to join the U.S. in releasing strategic oil reserves to drive the price lower. In addition, the U.S. intends to hold an auction for oil from its Strategic Petroleum Reserves (SPR) between January and April.
However, OPEC+ has so far no intention of changing its export policy, but rather warns that world markets will be in surplus again early next year. If strategic oil reserves are released as planned, this would lead to a global increase in the supply of around 1 million barrels per day.
OPEC+ had previously pledged to increase production by 400,000 barrels per day each month. Because of production problems in member countries such as Nigeria and Angola, however, OPEC+ has struggled to deliver on its promises.
According to data from the U.S., commercial crude oil inventories increased by 1 million barrels last week. Stocks of gasoline and other fuels continue to decline. This indicates that demand from airlines, motorists, and chemical companies remains
RBOB futures for U.S. gasoline were 0.7% lower at $2.3035 per gallon. The U.S. expects retail prices on Thanksgiving to be the highest in nine years.
The Spot Market is Open
Friday, November 26, 2021