Forex Marketz Daily Forex News – Fully Markets Update
Crude oil futures inched higher during early Asian trade hours today. There was a reported fall in inventories in the United States as well as extension of the OPEC led supply reduction scheme which will expire soon. It is hoped it will extend beyond March 2018. This is aimed at further tightening the market and has supported prices.
As of 1 am GMT, the global benchmark, WTI Brent crude futures, were at $62.81 per barrel. This was up 24 cents, or 0.4 percent, from their last settlement.
U.S. West Texas Intermediate (WTI) crude futures were at $57.31 a barrel. This was up 48 cents, or 0.8 percent.
Oil traders commented that the markets were well supported by efforts led by the Organization of the Petroleum Exporting Countries (OPEC) and a group of non-OPEC producers led by Russia. There goal is to restrict output in an effort to end a global supply imbalance, or glut.
Crude Oil Traders Watch OPEC Closely
Right now, the current scheme to restrict output is due to expire in March 2018. However. OPEC will meet on November 30 to discuss the outlook for this policy at their official meeting.
Traders remain focused on the OPEC’s talks heading to Vienna. The meeting’s outcome will ultimately determine the near term fate of the price of the black gold.
An extension of the OPEC deal to limit production may inspire short term bulls, But, the elephant in the room, is the rising U.S. output. That is likely to present headwinds, limiting upside gains.
The latest data on the official U.S. production and inventory is scheduled for release later inn the day during North American trade hours.
