Brent crude futures dropped $2.42, or 3.5%, to $67.71 a barrel
Oil prices drop more than 3% as OPEC+ plans for oil output hike
-92025412284476.jpg)
Oil prices fell by nearly 3.5% on Monday as OPEC+ plans for another increase to oil output in November and the resumption of oil exports by Iraq's Kurdistan region via Turkey raised the global supply outlook.
Brent crude futures dropped $2.42, or 3.5%, to $67.71 a barrel by 11:33 a.m. ET (1533 GMT) after settling at their highest since July 31 on Friday. U.S. West Texas Intermediate crude was down $2.42, or 3.7%, at $63.32.
The Organization of the Petroleum Exporting Countries and its allies, together known as OPEC+, is likely to approve another increase to crude oil production at its meeting on Sunday.
The group is expected to confirm an increase of at least 137,000 barrels per day for November as rising oil prices encourage efforts to regain market share, said three sources.
However, OPEC+ has been pumping almost 500,000 bpd less than its targets, defying market expectations of a supply glut.
“With OPEC+ pivoting toward market share, fundamentals look softer, and oversupply concerns prevail," Rystad Energy’s chief economist Claudio Galimberti said.
-920252122624392.jpg "TOREC")
