2023-12-05T04:19:22+00:00
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/ Oil prices stabilized after a three-day loss, as Saudi Arabia said that the recent cuts by the OPEC+ alliance would be fully adhered to and could be extended, in the face of continuing doubts about the effectiveness of the restrictions.
Brent crude settled above $78 a barrel after falling by more than 6% in the previous three sessions, while West Texas Intermediate crude exceeded $73.
Saudi Energy Minister Prince Abdulaziz bin Salman told Bloomberg News that the recently scheduled cuts will “overcome” the expected inventory increase in the first quarter, and could continue until 2024 if necessary.
Crude oil has been under downward pressure since the meeting of the Organization of the Petroleum Exporting Countries and its allies last week, as traders remain unconvinced of the extent to which the voluntary cuts package has been fully implemented. Analysts highlighted the group’s bloated spare capacity, saying traders need to see evidence of the implementation and impact of the cuts. The meeting was delayed for several days and witnessed internal disagreements.