WTI trades above $75.00 with a negative bias, focus on OPEC+ meeting
- WTI price struggles to halt its losing streak.
- OPEC+ is expected to extend the oil production cut in 2024.
- IEA anticipates a slight surplus in Crude oil production in the next year.
Western Texas Intermediate (WTI) price struggles to snap its losing streak that began on Wednesday, hovering above $75.00 per barrel during the European session on Tuesday.
Amidst the negative bias for the US Dollar, there’s an expectation that the upcoming meeting of the Organization of the Petroleum Exporting Countries and its allies (OPEC+) on Thursday could bring some support to crude oil prices. The anticipation is centered around the possibility of OPEC+ extending the oil production cut in 2024.
The upcoming OPEC+ meeting takes place against the backdrop of a significant decline in Crude oil prices, driven by concerns about oversupply despite the ongoing output cuts by OPEC+. The substantial production from non-OPEC countries, notably the United States (US), has added pressure on oil prices.
Meanwhile, China’s release of the NBS Purchasing Managers Index (PMI) data on Thursday holds potential significance. Better-than-expected data from the world’s largest Crude oil importer could have a positive impact on WTI prices.
Last week, OPEC+ contributed to the volatility by postponing its meeting to address disagreements over production targets for African producers. Furthermore, the International Energy Agency (IEA) anticipates a slight surplus in Crude oil production in 2024, even if OPEC+ nations extend their cuts into the next year.
Oil traders will watch API Weekly Crude Oil Stock for the week ending on November 24 on Tuesday and EIA Crude Oil Stocks Change for the said period on Wednesday.