HOUSTON: Oil prices fell on Monday, with the Brent benchmark hovering around $80 a barrel as investors awaited this week’s Opec+ meeting and expected curbs on supplies into 2024.

Brent crude futures were down 37 cents, or 0.4pc, at $80.21 a barrel by 11:33 a.m. ET (1633 GMT), while US West Texas Intermediate (WTI) crude futures lost 29 cents, or 0.4pc, to $75.25. Both contracts lost $1 in early trading.

Prices tumbled midweek when Opec+ —the Organisation of the Petroleum Exporting Countries (Opec) and allies including Russia — postponed to Nov 30 a ministerial meeting to iron out differences on production targets for African producers.

Since then the group, helmed by de facto leader Saudi Arabia, has moved closer to a compromise, four Opec+ sources told Reuters on Friday and Opec+ is looking at deepening oil production cuts despite its policy meeting being postponed to this Thursday, an Opec+ source said on Monday.

“Although there are headlines that Saudi has made progress reaching consensus, there is limited risk appetite to buy crude ahead of the formal announcement,” said Rebecca Babin, senior energy trader at CIBC Private Wealth US.

Published in Dawn, November 28th, 2023