Crude oil prices traded in the Green Zone on Thursday as investors continued to report that Russia cut production in November. One of the largest oil exporters reduced its oil production in the first two weeks of this month to 11.38 million barrels per day. Earlier this week, Russian Energy Minister Alexander Novak said the country’s crude production could be lower in November, with Russia cutting production by 20,000 bpd since October.
Crude oil priceshas seen its biggest drop in three years at the beginning of the commodity trade after Saudi Arabia’s Trump warned OPEC and OPEC to cut production to push prices higher, as well as OPEC’s monthly report, which predicted a decline in demand for oil in 2019.
US oil inventories rise
The US Petroleum Institute announced that oil inventories in the United States rose 8.8 million barrels during the week ending November 9, while analysts’ forecasts showed a rise of 3.2 million barrels.
Gasoline inventories rose 188,000 barrels last week, while distillate stocks – including heating oil and diesel – fell by 3.2 million barrels.
The official reading – which investors are looking forward to Thursday – is expected to be released Thursday by the US Energy Information Administration, where a day to commemorate Veterans Day in the United States was postponed last Monday.
Meanwhile, investment incentives have been boosted by a report that the Organization of the Petroleum Exporting Countries (OPEC) and other major oil producers are considering cutting output by 1.4 million barrels per day.
Oil trading
