Written by The Banking Post
Oil prices extended their slide on Thursday as traders braced for a weekend OPEC+ meeting, where members are expected to consider another increase in production quotas.
By 04:16 GMT, Brent crude fell 46 cents, or 0.7 percent, to $67.14 a barrel, while US West Texas Intermediate (WTI) dropped 47 cents, or 0.7 percent, to $63.50. The decline followed a 2 percent slump in the previous session.
Eight members of OPEC and its allies will meet on Sunday to discuss additional output hikes from October, according to sources familiar with the talks. Analysts warned that more supply could deepen an expected surplus, especially during the low-demand season.
OPEC+ has already raised its production target by 2.2 million barrels per day between April and September, alongside a 300,000 bpd increase for the UAE. Despite this ramp-up, Middle Eastern oil prices have remained among the strongest globally, emboldening Saudi Arabia and others to push for more market share.
Some analysts believe the group is now comfortable with Brent trading in the $60–65 range, lower than its earlier target of $70. Such a shift could pressure US shale producers, as WTI prices risk falling into the high-$50s.
Meanwhile, US inventory data added to market uncertainty. The American Petroleum Institute reported a surprise build of 622,000 barrels in the week ending August 29, against expectations of a 2 million barrel draw. Official government figures are due later on Thursday.
