In the early morning of the 27th Beijing time, US WTI crude oil closed down nearly 3% and fell 68 US dollars per barrel on Thursday. Saudi Arabia's promise to increase production and abandon the unofficial oil price target of 100 US dollars/barrel, as well as news that Libya may increase crude oil supply to the international market, are putting pressure on oil prices.
The price of West Texas Intermediate Crude Oil (WTI) futures for November delivery on the New York Mercantile Exchange fell $2.02, or 2.90%, to close at $67.67 a barrel.
There are reports that Saudi Arabia is committed to increasing production later this year.
According to official sources from Saudi Arabia, Saudi Arabia is preparing to abandon the unofficial oil price target of $100 per barrel. The person familiar with the matter said that Saudi officials are preparing to increase oil production in December, even if this move will lead to long-term low oil prices.
Furthermore, expectations that Libyan oil production will increase are putting pressure on crude oil prices. The North African faction reached an agreement on Wednesday to appoint a new central bank governor. Earlier political disputes over who should lead the bank led to a halt in its crude oil production.