Oil prices extend losses
Oil prices extended last week’s declines on Monday, dragged down by worries about oversupply as Organization of Petroleum Exporting Countries (OPEC) saw record crude production last month.
The West Texas Intermediate for December Delivery on Monday lost $0.09 to settle at $43.32 a barrel on the New York Mercantile Exchange, after earlier falling to 42.20, the lowest level since August 11, Xinhua news agency reported.
Brent crude for January delivery erased $0.32 to close at $44.43 a barrel on the London ICE Futures Exchange. The international benchmark hit a three-month low of $43.57 a barrel in intraday trading.
Analysts said latest data suggested a global trend of over-supply and skeptical investors doubted about whether the OPEC would reach an agreement at its policy meeting on November 30.
OPEC struck a deal in September to limit crude output at the policy meeting, first agreement to cut output since 2008. Production levels for each member country will be decided at the meeting.
OPEC crude production increased by 240,000 barrels to 33.64 million barrels per day in October compared to the figure registered in September, according to OPEC’s monthly report released on Friday.
The Oilfield services company Baker Hughes reported last week that the worldwide rig count for October this year was 1,620, up 36 from the 1,584 counted in September.