OPEC+ is holding steady on its strategy to reduce oil production. In turn, crude oil prices have fallen below $90, their lowest level in over a month. Yahoo Finance Live analyzes the price action surrounding the energy commodity. For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Oil prices inched up in early trade on Thursday, clawing back some of the previous session's big losses after an OPEC+ panel maintained oil output cuts to keep supply tight amid concern about a looming slump in global economic growth. Brent crude oil futures were up 11 cents to $85.92 a barrel while U.S. West Texas Intermediate crude (WTI) rose 7 cents to $84.29 at 0040 GMT. Oil prices settled down more than $5 on Wednesday as a bleaker macroeconomic outlook and fuel demand destruction came into focus, following a meeting of an OPEC+ panel, grouping the Organization of the Petroleum Exporting Countries and allies led by Russia.
Despite concerns about declining productivity, the Permian shale basin still has substantial oil reserves for output growth in the coming years.