Oil Prices Steady Amid Weak Demand, OPEC+ Delay

5 Sep 2024 , 09:25 AM

Oil was seeking to retain its ground in early trade on Thursday after an overnight sell-off, as traders dealt with weak demand and a potential delay in extra supply hitting the market next month.

Brent oil futures for November increased 9 cents, or 0.12%, to $72.79, after falling 1.42% the previous day. U.S. West Texas Intermediate crude futures for October rose 12 cents, or 0.17%, to $69.32 after falling 1.62% on Wednesday.

Both benchmarks were $1 lower at Wednesday’s close.

After oil prices plummeted to a nine-month low on September 3, OPEC+ is considering delaying its oil output rise, which was planned to begin in October, four sources told Reuters on Wednesday.

Last week, the Organisation of the Petroleum Exporting Countries and its allies, led by Russia (OPEC+), announced that it would increase output by 180,000 barrels per day in October as part of a strategy to progressively unwind its most recent 2.2 million bpd cutbacks.

However, the settlement of a conflict that had halted Libyan deliveries, as well as weakening Chinese demand that had resulted in oil reaching multi-month lows, prompted the group to reconsider.

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