March 25, 2023

Oil prices fell in trading on Friday, recording strong monthly and quarterly losses amid continued concerns about the stagnation of the global economy and slowdown in oil demand.

A Reuters poll showed that OPEC members produced 29.81 million bpd in September, the highest level since April 2020, and 210,000 bpd more than last August.

And data from Baker Hughes showed today that the number of oil rigs in the United States rose by two to 604 in the week ended Sept. 30.

Markets are waiting for the Organization of the Petroleum Exporting Countries and its allies to start talks to cut oil production at their meeting next week, though the size of any supply cut is still being considered.

Oil prices suffered strong quarterly losses as global central banks continue to raise interest rates to stem the acceleration of inflation, raising prospects for stagnation in the global economy and lower oil demand.

Futures for Brent crude, the standard for November delivery, fell 0.6%, or 53 cents, to $87.96 a barrel on settlement, but a contract for delivery next month rose 0.1%, on while monthly and quarterly losses were 11% and 22% respectively.

U.S. West Texas crude for November delivery also fell 2.1%, or $1.74, to a record $79.49 a barrel, while next month’s delivery contract recorded a weekly gain of 1%, but monthly and quarterly losses were about 11% and 25%. %, respectively.

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