- OPEC may boost output to try to counter a supply squeeze from US sanctions against Iran.
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Oil slips as OPEC reportedly weighs increasing output
Oil prices fell Friday amid reports OPEC is considering boosting coordinated output levels ahead of US sanctions against Tehran, which will effectively cut off Iranian production for much of the world.
Saudi Arabia's Oil Minister Khalid al-Falih (R) sits next to Russian Energy Minister Alexander Novak as he addresses a news conference after an OPEC meeting in Vienna, Austria.
Oil prices fell Friday amid reports OPECis considering boosting coordinated output levels ahead of US sanctions against Tehran, which will effectively cut off Iranian production for much of the world.
Following President Donald Trump's decision in May to withdraw the US from the Iran nuclear deal, the State Department earlier this year called on buyers to stop importing barrels from the Islamic Republic by November.
The oil sanctions could make
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The Trump administration has looked to Middle Eastern producers to pick up the slack left by its policy, with Saudi Arabia agreeing earlier this year to increase its oil output by a "measurable" amount. OPEC has already boosted production once this year, agreeing in June to reduce compliance with coordinated supply constraints.
Stewart Glickman, an energy equity analyst at CFRA Research, still sees the potential for upward pressure on crude oil prices in the near-term.
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