Oil prices fell on Monday as last week’s rise in the U.S. rig count pointed to a further increase in American production that could undermine OPEC-led efforts to tighten markets.
A statement by Kuwait’s oil minister that OPEC and other oil producers will study before June next year the possibility of exiting their global oil supply-cut agreement also weighed on prices, traders said.
U.S. West Texas Intermediate (WTI) crude futures (CLc1) were at $57.14 a barrel at 0418 GMT, down 22 cents, or 0.4 percent, from their last settlement.
Brent crude futures (LCOc1), the international benchmark for oil prices, were down 25 cents, or 0.4 percent, at $63.15 a barrel.
“The largest concern for investors currently remains the rise in the U.S. rig count, which could potentially jeopardize the OPEC and Russian agreement when they meet for a review in June 2018,” said Shane Chanel, equities and derivatives adviser at ASR Wealth Advisers.
Technical Analysis and Key Levels