Oil prices fell in Asia today as data showed global supplies were rising, while traders are also keeping an eye on talks between major powers and Iran over Tehran’s nuclear programme, analysts said.
New York’s main contract, West Texas Intermediate (WTI) crude for December delivery, was down 13 cents at $92.90 in late morning trade while Brent North Sea crude for January slipped 47 cents to $108.
“Traders have been cutting their long bets,” Kelly Teoh, market strategist in Singapore at IG Markets, said.
Saudi Arabia’s comments that it would not make any sharp cuts to output for two months, as well as a report saying non-OPEC production would grow 1.7 million barrels a day in 2014 have fuelled the expectations of weaker prices, Teoh added.
Also, a report from production tracker Joint Organisations Data Initiative (JODI) showed Saudi oil exports in September rose to the highest level since November 2005.
Dealers are also awaiting Wednesday’s meeting in Geneva on Iran’s disputed nuclear programme after efforts to clinch a deal earlier this month failed.
The United States, China, Russia, Britain, France and Germany — known collectively as the P5+1 group — will meet Iranian officials to find a way around the deadlock.
Western powers accuse major oil producer Iran of using its nuclear programme to develop weapons. Iran denies the claim, insisting that it is for peaceful purposes, but its economy is suffering from sanctions imposed to push it to the negotiating table.
