Oil rises on weak dollar, OPEC+ output cut expectations

Oil prices rose on Tuesday, supported by a weak dollar and expectations that the OPEC+ producer group would deepen and extend output cuts due to concerns over subdued demand, Reuters reported.

Brent crude futures were up 57 cents, or 0.7%, to 80.55 a barrel at 0845 GMT, on track to snap a four-day losing streak. U.S. West Texas Intermediate (WTI) crude futures were 54 cents higher, also up 0.7%, at $75.40 a barrel, after falling for three straight sessions.

OPEC+, which combines the Organization of the Petroleum Exporting Countries (OPEC) and allies, including Russia, will hold an online ministerial meeting on Nov. 30 to discuss production targets for 2024.

The meeting comes amid a sharp decline in oil prices due to concerns that the market was oversupplied despite OPEC+ output cuts. Brent has fallen by more than 18% and WTI by over 21% since end-September highs. Strong production by non-OPEC members, such as the United States, has added to price pressure.

The U.S. dollar’s retreat to its lowest level in three months should bolster demand from countries that pay for oil in other currencies.