Oil Prices drop as OPEC+ Weighs Fresh Output Boost

Global oil prices has been downturn on Thursday as investors closely watch OPEC+ ahead of a key meeting this weekend, where the affinity is wished to review production targets and consider a fresh output hike.

According to market data,  By 04:16 GMT,  Brant crude oil price decrease  to  0.7% to $67.14 per barrel, while US West Texas Intermediate (WTI) slid 0.7% to $63.50, 

OPEC+ members are aiming  to discuss supply  more barrels to the market in October,  Intending to tight their position in the world  energy trade. However, experts  aware of  that a further production increase could intensify supply pressure during a period of weaker seasonal demand.

Research from ANZ posted  that releasing extra  oil in the fourth quarter could extent  the  aiming surplus, putting extra downward pressure on prices.

Apart this OPEC+ has already choice   a combined increase of 2.2 million barrels per day (bpd), alongside a special 300,000 bpd quota for the United Arab Emirates. Disregard  rising production, Middle Eastern baseline  prices have remained resilient, boosting confidence among top producers like Saudi Arabia to push for higher output.

Vivek Dhar  energy specialist  of the Commonwealth Bank of Australia believes the group’s strategy signals a shift in pricing goals. “OPEC+ appears more comfortable with Brent trading between $60 and $65 a barrel, compared to its earlier preference for prices around $70,” Dhar observed.

Meanwhile, markets are also awaiting fresh US crude inventory data. Generally  data  from the (API) American Petroleum Institute given that  a 622,000-barrel increase in crude stockpiles for the week ending August 29, defying assumed  of a 2.0 million-barrel draw.