Oil steadies above $62, expected fall in U.S. inventory supportsOil steadies above $62, expected fall in U.S. inventory supports

Oil steadied above $62 a barrel on Tuesday as expectations of a drop in U.S. crude inventories and prolonged supply curbs by OPEC and other producers countered rising output in the United States.

An OPEC-led producer group last week extended a supply-cutting deal through 2018, but the resulting support for prices could bolster U.S. output which climbed to nearly 9.5 million barrels per day in September. An OPEC-led producer group last week extended a supply-cutting deal through 2018, but the resulting support for prices could bolster U.S. output which climbed to nearly 9.5 million barrels per day in September.

“U.S. output will play the most significant role on the supply front in 2018,” said Tamas Varga of oil broker PVM.

“A jump above $60 in WTI could easily push U.S. production over the 10 million bpd mark, increasing the non-OPEC forecast and capping further attempts to push prices higher.”
more at:  https://www.reuters.com/article/us-global-oil/oil-steadies-above-62-expected-fall-in-u-s-inventory-supports-idUSKBN1DZ05D