Oil prices up in Asia ahead of OPEC meeting, USA report

But the data failed to boost the market.

Brent futures LCOc1 settled up 17 cents at $45.83 a barrel.

West Texas Intermediate crude futures in the US were lower by 68 cents per barrel to a price of $41.22 per barrel by early Monday morning having moved to a high of $42.75 following the statement by Saudi Arabia. The rebound soon lost steam, however, as analysts noted the remarks were in line with previous Saudi statements.

Going forward, the global oil market “will face chronic surpluses well into the second half of 2016”, TD said.

Situations are not becoming better even though there has been reduction in the number of U. A firmer dollar had weighed on oil earlier as commodities denominated in the greenback became less affordable to holders of other currencies such as the euro. S. rigs for continued eleven week out of twelve.

With the future direction of oil prices notoriously hard to predict, how does del Pino’s forecast fit in with those of other industry insiders?

Venezuela is urging its fellow Organization of Petroleum Exporting Countries to adopt an “equilibrium price” that covers the cost of new investment in production capacity, Del Pino told reporters Sunday in Tehran. “OPEC member comments leading into the December 4 meeting are likely to continue to drive sentiment”, ANZ said in a note on Tuesday.

USA commercial crude oil stocks probably gained 1.1 million barrels for the week ended Nov 20, according to a preliminary Reuters survey of five analysts on Monday.

The U.S. Federal Reserve’s broadly upbeat summary of the US economy also lifted confidence, with most markets in Asia advancing after a rally on Wall Street. The world’s biggest oil producer added that it is ready to cooperate with OPEC and non-OPEC producers in order to stabilize prices. US WTI crude traded 30 cents lower at 40.24 per barrel. “The drivers that pushed prices lower are still there” said Hamza Khan head of commodity strategy at ING pointing to the strong dollar and increasingly efficient United States shale operations in addition to the overhang of physical oil.

Saudi Arabia also reclaimed its position from Russian Federation as the largest crude supplier to China, where it sold 3.99 million tonnes in October, 0.8 per cent more than in September, data from the Beijing-based General Administration of Customs showed Monday.