Oil retreated below $47 in New York after OPEC officials failed Monday to work out a compromise on a deal to cut production and boost crude prices.
Futures lost as much as 2.3 percent. A 10-hour technical meeting focusing on how to divide cuts failed to resolve differences, with Iran still aiming to produce roughly 7 percent more than a level proposed by Saudi Arabia. Prices on Monday rallied 2.2 percent after Iraq’s oil minister said he was optimistic a deal would be reached. He reiterated the confidence on Tuesday. Goldman Sachs Group Inc. said the market is pricing in a 30 percent chance of a deal.
West Texas Intermediate for January delivery lost as much as $1.06 to $46.02 a barrel on New York Mercantile Exchange and was at $46.09 at 12:15 p.m. in London. Prices Monday rose $1.02 to $47.08 a barrel.
Brent for January settlement, which expires Wednesday, lost as much as $1.07, or 2.2 percent, to $47.17 a barrel on the London-based ICE Futures Europe exchange. The contract advanced 2.1 percent to $48.24 a barrel Monday. The global benchmark traded at a $1.23 premium to WTI for the same month. The more-active February futures were down 64 cents at $48.57 a barrel.
more at: https://www.bloomberg.com/news/articles/2016-11-29/oil-retreats-below-47-as-opec-said-to-stay-split-on-output-deal