Oil prices fell on Monday, with Brent oil futures falling towards $80 a barrel, as investors awaited the OPEC+ group meeting this week to agree on the size of production cuts in 2024.
By 02:31 GMT, Brent crude futures fell 37 cents, or 0.5 percent, to $80.21 per barrel. West Texas Intermediate crude futures fell 36 cents, or 0.5 percent, to $75.18 per barrel.
The two crude oil prices rose slightly last week, the first week in which they recorded gains in five weeks, supported by expectations that Saudi Arabia and Russia may extend supply cuts until 2024, while OPEC+ may discuss plans to implement further cuts.
Prices tumbled in the Middle East last week after the Organization of the Petroleum Exporting Countries (OPEC) and its allies, including Russia, or the group known as OPEC+, postponed a ministerial meeting until November 30 to resolve differences over production targets for producers in Africa.
Since then, the group has been moving to reach a consensus, group sources told Reuters on Friday.
Analysts at ING said that market sentiment remains negative in light of the dispute within OPEC+ over production quotas, despite expectations that Saudi Arabia will continue voluntary production cuts of one million barrels per day until next year.
The International Energy Agency stated that it expects a slight increase in supply in global oil markets in 2024, even if OPEC+ member states continue production cuts until next year.
Oil prices also stabilized after geopolitical tension in the Middle East receded following a truce agreement in Gaza and the exchange of Palestinian hostages and prisoners.
