By: Mahmoud Gamal
Mubasher: Oil prices were down on Tuesday, while the dollar rose to a three-month high on the back of betting that the US Federal Reserve will raise interest rates in December.
By 7:00am GMT, Brent crude futures (for December delivery) fell 0.56% to $52.84 per barrel, while US Nymex (for November delivery) shed 0.51% to $51.09 pb.
In the meantime, the dollar index grew 0.22% to 97.13 points, pressuring the prices of dollar-denominated basic commodities.
Crude oil market traders have resorted to profit-taking, said commodity market analyst Ahmed Karam.
He told Mubasher that speculation regarding trimming output is not enough to rebalance the market, despite support from Saudi Arabia and Russia in the upcoming Istanbul talks slated to begin on Wednesday.
The Organisation of Petroleum Exporting Countries (OPEC) is set to meet on 12 October with non-OPEC members to receive support for cutting oil production ahead of OPEC’s official meeting on 30 November.
OPEC hopes to reach an agreement to reduce production to 32.5 million to 33 million barrels per day.
Translated by: Nada Adel Sobhi
