Investing.com–Oil prices rose on Thursday following the announcement that the OPEC+ coalition had postponed its upcoming meeting until next week.
Crude oil prices saw some losses this week after Israel and the Lebanese militant group Hezbollah agreed to a ceasefire in Lebanon. But Israel still continued its offensive in Gaza, undermining expectations for greater stability in the Middle East.
Dollar weakness helped limit overall oil losses, while ongoing tensions between Russia and Ukraine also kept some risk elements in play.
expiring in January, rose 0.8% to $72.85 per barrel, while remaining steady at $69.18 per barrel at 7:27 ET (12:27 GMT).
OPEC+ meeting awaits
The focus on oil markets now turns to an upcoming meeting of the Organization of the Petroleum Exporting Countries and Allies (OPEC+).
The producer bloc is poised to do so, with reports suggesting the group will further delay plans to increase output amid concerns about weakening demand and high supply in non-OPEC countries.
China in particular is a key concern for OPEC as the world’s largest oil importer struggles with a slow economic recovery and limited stimulus.
The geopolitical outlook for China is uncertain in light of higher US trade tariffs under the Donald Trump administration.
Trump has also promised to increase U.S. energy production.
US oil inventories are falling, but gasoline inventories are rising
Government data showed on Wednesday that the US shrank by 1.8 million barrels in the week to November 22.
But stocks rose 3.3mb, after a second straight week of strong build-up, while also growing.
Increased inventories of oil products led to some concerns about cooling demand in the world’s largest fuel consumer, especially as the upcoming winter season deterred travel.
Oil markets are wary of a potential global supply glut in 2025, fueled mainly by record high U.S. production.
Still, dollar weakness helped stem wider losses in crude, especially as traders maintained their bets on a 25 basis point rate cut by the Federal Reserve in December.
(Ambar Warrick contributed to this article)
