Oil prices lower as rising crude output offset geopolitical risks
USO•Brent fell 0.58% to $92.22 a barrel and U.S. WTI declined 0.77% to $85.86 as rising crude output offset Middle East and Russia-related tensions. Both contracts were headed for a weekly fall.
1. Prices move lower
Oil prices fell on Thursday after recovering from earlier losses. Brent was down 54 cents at $92.22 a barrel, while U.S. WTI fell 67 cents to $85.86; both contracts had dropped more than $1 in early Asian trading and were headed for a weekly decline.
2. Output and tensions
OPEC+ crude production rose in October, driven by higher Saudi Arabian output despite shipping disruptions through the Strait of Hormuz. Iran's Revolutionary Guards Navy said two supertankers were disabled after hitting naval mines in the waterway, while geopolitical tensions in the Middle East and Russia continued to support prices.
3. Inventory data awaited
Traders were watching for U.S. Energy Information Administration oil and products stock data due Thursday, delayed by a national holiday. Iran's security chief said the country would not allow enriched nuclear material to leave, while Russian and Ukrainian negotiators agreed to a prisoner exchange but differences remained on other major issues.
