Oil closes 2.5% higher amid reports on OPEC+ meeting

Oil drilling rigs

Oil prices rose today, Sept. 27, from the lowest levels in eight months, as traders awaited OPEC+ decision on supplies and assessed the risks associated with the global economy.

Russia is likely to ask the OPEC+ group to reduce oil production by about one million barrels per day during the meeting scheduled for Oct. 5, Reuters reported.

Investors are also tracking Hurricane Ida, which is expected to hit Florida, US. Chevron Corp. announced that it will stop oil production in two offshore production platforms in the Gulf of Mexico due to the hurricane.

However, crude trimmed its gains recorded earlier in the trading as the US dollar resumed its upward trend, and amid continued concerns about the repercussions of raising interest rates on global economic growth.

Meanwhile, Goldman Sachs reduced its forecast for oil prices in Q4 2022, with increasing signs of a slowdown in the global economy. But it still believes that prices may rise from current levels due to the tightening of the market.

In terms of trading, Brent crude rose 2.6% to close at $86.27 a barrel, down from $87.15 earlier in the day. WTI crude gained 2.3% to reach $78.50 a barrel.