Oil slips as US crude output rises

Oil drilling rigs

Oil slipped today, Nov. 10, with the increase in US crude production and the rise in inventories, coinciding with the continued concerns related to the global economic slowdown.

Brent crude was trading down 0.14% at $92.52 a barrel, at 9:09 am Makkah time. West Texas Intermediate (WTI) crude fell 0.20% to $85.66 a barrel.

Data from the US Energy Information Administration revealed that the average oil production in the US increased by 200,000 barrels per day in the week ended Nov. 4, to reach 12.1 million barrels per day.

On the other hand, US oil exports declined by 404,000 barrels to reach 3.521 million barrels per day.

In a note to clients, Commonwealth Bank analyst Vivek Dhar forecast that Brent will average about $95 a barrel in the fourth quarter as oil markets will tighten following the implementation of the European Union's planned ban on Russian seaborne oil imports starting on Dec. 5 in response to Russia's invasion of Ukraine, Reuters reported.