Oil prices were broadly steady on Thursday after the previous session’s big losses, as an uncertain demand outlook held off any boost from an OPEC+ panel maintaining oil output cuts to keep a tight supply.
Brent crude oil futures rose slightly by 18 cents to $85.99 a barrel at 0818, while U.S. West Texas Intermediate crude also crawled up 18 cents to $84.40.
According to Reuters, oil 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.
The OPEC+ ministerial panel made no changes to the group’s oil output policy, and Saudi Arabia said it would continue with a voluntary cut of 1 million barrels per day (bpd) until the end of 2023, while Russia would keep a 300,000 bpd voluntary export curb until the end of December.
“We continue to see the market in deficit through the fourth quarter and the softer prices reduce the probability OPEC will ease supply constraints,” National Australia Bank analysts said in a note.
