OPEC sees crude at over $80 on geopolitical concerns: report

Oil prices may cross $80 a barrel driven by geopolitics rather than supply shortage in the short term, Reuters reported on Wednesday, citing four OPEC delegates.

"The view of top exporter Saudi Arabia is that any brief, speculator-driven jump in oil prices is not sufficient grounds for producers to boost output," an OPEC source told the news agency.

"For such a decision to occur, the rally would need to be driven by data pointing to a supply impact," the source added.

The four OPEC delegates said the latest rise in prices stemmed more from concern about US sanctions on Iran and tension in the Middle East, rather than a suddenly tighter balance between oil supply and demand.

“Prices are high just because of the tensions,” an OPEC delegate said.

“It may exceed $80 and then go down,” another source added.   

Since last year, oil has been supported by a deal by the OPEC, plus Russia and other non-members, to cut output by about 1.8 million barrels per day until the end of 2018. Prices have risen about 40 percent since the accord began in January 2017.