Brent Crude trades above $82.5/bbl; OPEC to raise output

Brent crude futures edged up to above $82.5 a barrel on Friday, after OPEC and its allies agreed to raise output by a pre-agreed 400,000 barrels per day from December defying US pressure to help cool the market.

However, the benchmark Brent crude is on course for an over 1% weekly loss amid rising US crude inventories, and as the White House said it will consider the full range of tools to bring prices down.

On top of that, a report from Al Arabiya TV said Saudi Arabia’s oil output will reach 10 million bpd in December, the most since the COVID-19 pandemic started and Iran announced it will resume talks with the world powers later this month aimed at reviving the Iran nuclear deal.

Brent Crude oil is a major benchmark price for purchases of oil worldwide. While Brent Crude oil is sourced from the North Sea the oil production coming from Europe, Africa and the Middle East flowing West tends to be priced relative to this oil.

Source: Trading Economics