Crude oil prices dropped 1.62% to settle at 6363, which was caused by the OPEC+ meeting being rescheduled for November 30. The delay resulted from Saudi Arabia’s discontent with other members’ production levels, which at first raised concerns about possible supply cuts. Significant news showing a 9 million barrel increase in U.S. crude inventory, over market estimates, further exacerbated this fall.
The head of the International Energy Agency’s oil markets division suggested that there may be a small supply surplus in 2024, despite predictions of OPEC+ reduction. The oil industry in Libya is showing signs of revival as the National Oil Corporation announced reaching a production milestone of 1.24 million barrels per day.
Conversely, OPEC countries Saudi Arabia and the United Arab Emirates in particular saw a rise in their market share to a 10-month high in October, owing to lower discounts on Russian oil, which was evident in India’s oil imports.
With a 3.48% increase in open interest that settled at 11,531, the market technically saw new selling. The price of crude oil has dropped significantly by 105 rupees, but it still finds support at 6186 and may approach 6010 levels again. A breakthrough could result in testing at 6682, and resistance is expected at 6522.
