Oil Prices Climb on Declining US Stockpiles and Anticipation of OPEC+ Meeting

Oil prices continued to rise following a report from the industry indicating a decrease in US crude inventories, just ahead of an anticipated OPEC+ meeting where current supply reductions are likely to be confirmed.

 

West Texas Intermediate climbed towards $86 per barrel, reaching its highest point since October, while Brent crude closed just under $89. According to sources familiar with the data, the American Petroleum Institute disclosed a drop of over 2 million barrels in nationwide stockpiles last week, also noting declines in gasoline and distillate inventories.

 

OPEC and its partners are scheduled to assess crude markets and supply policies during an online session on Wednesday, with officials forecasting maintenance of the existing strategy. However, there may be stern remarks directed at countries surpassing their allocated limits.

 

The year has witnessed a continuous uptick in crude prices, propelled by Ukrainian attacks on Russian energy infrastructure and ongoing tensions in the Middle East. Despite some members falling short of their agreed-upon cuts, OPEC's restrictions have been instrumental in tightening the market.

 

Paraphrasing text from "Bloomberg" all rights reserved by the original author.