# Oil prices slide amid fears of supply boost, weaker demand
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2021-11-15
Category: BUSINESS
Category URL: https://financedigest.com/category/business
Meta Title: Oil prices fall as supply concerns weigh on market
Meta Description: Crude oil prices tumble as markets anticipate higher supplies and decreasing demand, with Brent and WTI crude both losing ground amid speculation of strategic
URL: https://financedigest.com/oil-prices-slide-amid-fears-of-supply-boost-weaker-demandhtml

![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2021-11-15t020934z2lynxmpehae01rrtroptp4global-oil-refineries-1736837354737-compressed.jpg)

By Naveen Thukral

SINGAPORE (Reuters) – Crude oil prices skidded on Monday, under pressure from expectations of higher supplies and weakening demand.

Brent crude futures fell 58 cents, or 0.7%, to $81.59 a barrel, as of 0151 GMT. U.S. West Texas Intermediate (WTI) crude lost 58 cents, or 0.7%, to $80.21 a barrel.

Both markets have dropped for the last three weeks, hit by a strengthening [dollar and speculation that President Joe Biden’s](https://www.financedigest.com/stocks-dollar-pause-ahead-of-powell-biden-speeches.html "Stocks, dollar pause ahead of Powell, Biden speeches") administration might release oil from the U.S. Strategic Petroleum [Reserve to cool prices](https://www.financedigest.com/oil-prices-dip-on-u-s-crude-reserve-release-inflation-pressure.html "Oil prices dip on U.S. crude reserve release, inflation pressure").

The White House has been debating how to tackle [higher inflation](https://www.financedigest.com/boes-saunders-worries-inflation-will-be-higher-than-forecasts.html "BoE’s Saunders worries inflation will be higher than forecasts"), with some officials calling for the strategic reserve to be tapped, or halting U.S. exports,” ANZ analysts said in a report.

U.S. energy [firms this week added oil](https://www.financedigest.com/uk-oil-gas-firms-to-leave-years-worth-of-output-in-ground-with-tax-hikes-report.html "UK oil, gas firms to leave year’s worth of output in ground with tax hikes-report") and natural gas rigs for a third week in a row with crude prices hovering near a seven-year high, prompting some drillers to return to the wellpad.

The oil and gas rig count, an [early indicator of future output](https://www.financedigest.com/french-sugar-makers-to-start-output-early-as-energy-curbs-loom.html "French sugar makers to start output early as energy curbs loom"), rose by six to 556 in the week to Nov. 12, its highest level since April 2020, [energy services firm Baker](https://www.financedigest.com/french-energy-suppliers-will-let-struggling-bakers-renegotiate-contracts-le-maire.html "French energy suppliers will let struggling bakers renegotiate contracts – Le Maire") Hughes Co said on Friday.

Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) last week cut its world [oil demand](https://www.financedigest.com/oil-gains-after-iea-sees-demand-rising-to-record-high.html "Oil gains after IEA sees demand rising to record high") forecast for the fourth quarter by 330,000 barrels per day (bpd) from last month’s forecast, as high energy prices hampered economic recovery from the COVID-19 pandemic.

Russia’s Rosneft, the world’s second-biggest oil company by output after Saudi Aramco, warned on Friday of a potential “super cycle” in global energy markets, raising the prospect of even higher [prices as demand](https://www.financedigest.com/oil-prices-rebound-after-opec-upgrades-china-demand-outlook.html "Oil prices rebound after OPEC upgrades China demand outlook") outstrips supply.

(Reporting by Naveen Thukral; Editing by Kenneth Maxwell)


---
This blog is powered by Superblog. Visit https://superblog.ai to know more.
---