Oil rises over 1% after OPEC+ agrees to 1 million bpd supply cut; Brent reaches $84/bbl

livemint.com:

₹6,430 per bbl, having swung between ₹6,409 and ₹6,644 per bbl during the session so far, against a previous close of ₹6,488 per barrel. -Saudi Arabia, Russia and other members of OPEC+, who pump more than 40 per cent of the world's oil, held a virtual meeting on Thursday to discuss 2024 output amid concerns the market faces a potential surplus. Their output of some 43 million bpd already reflects cuts of about 5 million bpd aimed at supporting prices and stabilising the market.

Crude oil extended gains ahead of the OPEC+ meetings on hopes members would agree on output cuts to stabilize global oil prices. Crude oil prices also recovered after a better than expected US third quarter GDP data. The US GDP grew 5.2 per cent in the third quarter against previous estimates of 4.9 per cent.

However, an increase in the US crude oil inventories limited gains. As per official data, crude oil inventories build up of 1.6 million barrels in the last week was against expectations of a draw of 0.1 million barrels, said analysts. ‘’We expect crude oil prices to remain volatile this week amid volatility in the dollar index and OPEC+ meetings.