SULAIMANI (ESTA) — Oil prices fell on Thursday as investors cashed in on a recent rally ahead of a key producers meeting later in the day, with some speculation that Saudi Arabia may boost oil production.
Brent crude futures fell $2.43 at $113.9 a barrel at 0802 GMT, having risen 0.6% the previous day.
U.S. West Texas Intermediate (WTI) crude was down $2.50 at $112.8 per barrel, after a 0.5% rise on Wednesday.
Senior economist at NLI Research Institute Tsuyoshi Ueno said speculation that Saudi Arabia may step up production weighed on the market, according to Reuters.
“Investors unwound long positions to wait and see whether Saudi Arabia would raise production more quickly to respond calls from the United States for it to do so, and whether their increase would affect the global supply-demand balance,” Reuters quoted him as saying.
Saudi Arabia is prepared to raise its oil production if Russia’s output falls substantially because of the Western sanctions imposed on it, the Financial Times cited sources as saying, Reuters reported.
