MANTHANTIPS:- Oil gives back some gains after Monday’s 3% OPEC-inspired rally
Oil prices were lower in European trade on Tuesday, giving back some of the prior session’s strong gains, which came on the back of renewed hopes for an agreement among OPEC producers to freeze output. On the ICE Futures Exchange in London, Brent oil for October delivery shed 45 cents, or 0.99%, to trade at $44.94 a barrel by 07:55GMT, or 3:55AM ET. A day earlier, Brent prices rallied $1.12, or 2.53%, as sentiment was boosted amid renewed hopes for an agreement among exporters to freeze output. According to people familiar with the matter, several OPEC members, including Venezuela, Ecuador and Kuwait, are now pushing for fresh talks on setting new limits for oil production this fall in an effort to stabilize the market. Qatar’s Energy Minister Mohammed Bin Saleh al-Sada, who is serving as OPEC president this year, confirmed the oil cartel will hold on an informal meeting on the sidelines of the International Energy Forum conference in Algeria scheduled to take place September 26-28. However, market players remained skeptical that the meeting would result in any concrete actions. An attempt to jointly freeze production levels earlier this year failed after Saudi Arabia backed out over Iran’s refusal to take part of the initiative.