Crude oil prices continue to decline on Monday on worries over the demand as Japan falls into a recession. Members of the Organization of Petroleum Exporting Countries will be meeting in Vienna on Nov 27 to tackle the falling trend of the commodity as analysts speculate that producers may not cut output completely.
Futures for the North American West Texas intermediate (WTI) for December delivery fell 0.45% to $75.58 a barrel on the New York Mercantile Exchange at the time of writing.
Brent crude declined 0.60% to $78.93 a barrel on the ICE Futures Europe exchange based in London. The European benchmark crude has declined approximately 32% from June as members of OPEC resisted calls to cut output and offered discounted prices instead, while the US increased output to the highest in 30 years.
Iran’s OPEC Governor Hoessien Kazempour, along with the country’s head of oil contracts committee Mehdi Hosseini are scheduled to visit the U.A.E, according to Iran’s oil ministry.
The group’s main producers such as Saudi Arabia and Kuwait have resisted to calls to cut crude output and offered discounted prices instead. Other countries including Ecuador, Venezuela and Libya raised concerns and called for action to prevent the commodity from its downward trend.
Free Reports:
Oil demand is forecasted to fall by approximately 1% to 92.6 million barrels a day in the first quarter from the current three-month period, according to the Paris-based International Energy Agency.
A data from the US Commodity Futures Trading Commission showed that the net-long position in the New York contract climbed 8.7% in the week ended November 11.
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