Oil Price in steady ground as OPEC cuts balance the rising U.S. Supplies

Crude Oil down

Oil markets were found steady in today’s session as rising U.S. crude production and inventories were countered by expectations that the OPEC will extend the ongoing production cuts during a meeting at the end of this month.

Brent Crude futures, which is the international market for oil commodities were found at trading at $61.98 per barrel an 11 cent increase from their last close.

The U.S. West Texas Intermediate crude futures were trading at $55.37 a barrel, which is up by 4 cents from the benchmark’s last close.

“Oil shrugged off an unexpected rise in the U.S. crude inventory data…Both contracts eked out small gains,” said Jeffrey Halley, senior market analyst at futures brokerage OANDA in Singapore.

Although both were seen racking up gains, Brent and WTI have is down by 4 percent in value since hitting 2015 highs last week, brought down in part by the rising crude availability and an increase of refineries in the United States.

U.S. crude inventories was up for a second consecutive week, building by 1.9 million barrels in the week to 459 million. The government’s Energy Information Administration which stated on Wednesday.

The OPEC cut deal is due to end in March 2018, But OPEC will hold another meeting on November 30 in order to discuss the policy and it is expected to agree on the Extension of the cuts.

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