MANTHANTIPS:- Oil prices fall as Saudi Arabia dampens prospects of output freeze
Oil fell on Friday and was set for its largest weekly decline in a month after the Saudi energy minister cooled expectations that top producers might agree next month to curb crude output levels. Brent crude oil futures (LCOc1) were down 52 cents at $49.15 per barrel by 0917 GMT, while U.S. West Texas Intermediate (WTI) crude (CLc1) was down 28 cents at $47.05 a barrel. Saudi Arabian Energy Minister Khalid Al-Falih told Reuters late on Thursday: “We don’t believe any significant intervention in the market is necessary other than to allow the forces of supply and demand to do the work for us.” He said the “market is moving in the right direction” already. Members of the Organization of the Petroleum Exporting Countries will meet on the sidelines of the International Energy Forum, which groups producers and consumers, in Algeria Sept. 26-28. The Saudi minister’s comments dampened expectations of a meaningful intervention into the market, which has been dogged by oversupply for more than two years.