Daily Times

Crude oil prices remained mixed on Friday but were on track to snap a five-week losing streak amid expectations that Opec+ will continue to cap crude output next year to support the market.

As of 1235 hours GMT, Brent, the international benchmark for two-thirds of the world’s oil, gained $0.21 (+0.26 percent) to reach $81.63 a barrel. The West Texas Intermediate (WTI), the main oil benchmark for North America, went down by $0.47 (-0.61 percent) to $76.63 a barrel.

The price of Russian Sokol decreased by $0.92 (-1.19 percent) to $76.11. Arab Light prices witnessed a decrease of $1.05 (-1.21 percent) to reach $85.87 a barrel. On the other hand, the price for Opec Basket decreased to $84.46 a barrel with a decrease of $0.29 (-0.34 percent). The OPEC Reference Basket of Crudes (ORB) is made up of Saharan Blend, Girassol, Djeno, Zafiro, Rabi Light, Iran Heavy, Basra Light, Kuwait Export, Es Sider, Bonny Light, Arab Light, Murban and Merey.

Brent settled 0.66 percent lower at $81.42 a barrel. There was no settlement for WTI due to the Thanksgiving holiday in the US. Oil prices slumped as much as 4.9 percent on Wednesday after Opec+ surprised the market by postponing its ministerial meeting by four days to November 30. The meeting is expected to chart the course of crude output cuts next year and discuss any possible changes to the group’s long-standing agreement aimed at stabilizing the oil market.

The 2024 production quotas decided in June included a lower output target for nine of the 23 member countries, which are Russia, Nigeria, Angola, Malaysia, Azerbaijan, Equatorial Guinea, Congo, Brunei and Sudan. Rystad Energy, which expects oil to trade close to $80 a barrel next year without further supply reductions, said it would be difficult for those countries to accept lower production quotas.

Oil prices, which surged to about $98 in September, are on track for a back-to-back monthly loss amid expectations of a tight crude market in the fourth quarter. But higher oil production in Iran and the easing of sanctions on Venezuela can ease supply concerns next year.