Oil prices were rising, with Brent crude up 0.4% at $69.96 a barrel and WTI up 0.6% at $67.72 a barrel. Crude has reversed losses seen earlier in the session on a general risk-on sentiment in markets, Pepperstone’s Chris Weston said in a note.
Oil had slipped following cartel OPEC+’s decision over the weekend to raise output in September by 547,000 barrels a day, a fifth straight month of production hikes. Still, the intention to increase output was well-telegraphed and priced into oil, so the early slip more reflects liquidity conditions, a thinned order book and Asian traders maintaining positioning, Weston wrote.
Technical trading indicators are somewhat muddled and show no obvious upward or downward price trend, though on a longer timeframe the market looks comfortably positioned in the $68 to $72 a barrel range, Weston said.