Oil 2% slides in concerns about over -supply

Oil prices slipped on Thursday, arranging about 2% lower as concerns about the possible demand for US demand and the major threats of over -supply over the production of the Middle East and the War in Ukraine.

Brent Futures Futures decreased $ 1.12, or 1.7%, to settle to $ 66.37 a barrel. The US West Texas Intermedia (WTI) fell $ 1.30 or 2%to settle at $ 62.37.

The International Energy Agency said in its monthly report that the global oil supply would increase faster than expected this year due to planned growth production by OPEC+, the organization of oil exporting countries and allies such as Russia.

“Oil prices are falling today (Thursday) in response to the Bearish IEA titles, indicating a massive over -supply on the oil market next year,” said Carsten Fritsch, a Commerzbank analyst.

On Sunday, OPEC+ agreed to increase production since October. However, in another report, OPEC maintained forecasts for supply and demand for the year unchanged, reporting steady demand.

The market was torn between a perception of supply due to the increase in tensions in the Middle East and Ukraine and the actual over -supply from the highest production and production reserves and OPEC+edema, said Tamas Varga, a PVM Oil Associates analyst.

OPEC leader Saudi Arabia exports crude oil in China is expected to increase, several commercial sources at Reuters on Thursday, with Aramco -controlled energy company to be shipped about 1.65 million barrels daily in October, up to 1.43 million BPDs.

The market also disputes how long China could continue to absorb barrels and keep the basic barrels for economic cooperation and growth (OECD) low, said Giovanni Staunovo, an UBS analyst, adding that investors were also watching further sanctions.

In Russia, the world’s second largest crude producer behind the US in 2024, revenue from crude and diesel sales declined in August to one of the lowest levels observed since the conflict in Ukraine, IEA said.

US Secretary of Energy Chris Wright and European Commissioner for Energy and Housing Dan Jorgensen discussed efforts to limit Russian energy trade during talks in Brussels, with Jorgensen saying that the planned deadlines of the European Union were ambitious, but there is a need for the process.

In India, in the meantime, the largest private farm porter, Adani Group has banned entry into the ports of tankers ratified by western countries, reported three sources and show documents. The movement could hit Russian oil supplies for two Indian reflections.