On Wednesday, crude prices sagged in quiet early Asia trade, as the market waits to see how OPEC as well as non-OPEC members carry through on planned supply drops in 2017.
International Brent crude futures declined 0.2%, hitting $55.96 a barrel, having closed the previous session up 93 cents. American benchmark West Texas Intermediate dived 7 cents, reaching $53.83 per barrel, having settled up 88 cents at $53.90 a barrel last session.
Trading is supposed to remain thin this week ahead of the upcoming New Year holiday.
OPEC along with non-OPEC producers are expected to decrease output by nearly 1.8 million barrels per day, with Saudi Arabia, OPEC’s number one producer, agreeing to bear the lion’s share of the drops.
In a sign that the world’s crude key producers might abide by their recent agreement, OPEC member Venezuela officially announced that it’s on the verge of cutting 95,000 bpd of crude production in the New Year.
