Oil+ oil slips+ agree to raise the output in September

By Florence Tan

Singapore (Reuters) -Oil prices in early Asian trade fell on Monday after OPEC+ agreed to a significant increase in production in September.

Brent crude futures decreased 43 cents, or 0.62 %, to $ 69.24 a barrel by 2218 GMT while American crude was in West Texas Intermediate at $ 66.94 a barrel, a decrease of 39 cents, or 0.58 %, after the contract closed about $ 2 a barrel less on Friday.

On Sunday, Opec+ agreed to raise oil production by 547,000 barrels per day for the month of September, which is the latest in a series of rapidly high production to restore its share in the market, as concerns about potential display disorders related to Russia.

This step represents a complete and early reflection of the largest OPEC+production discounts, as well as a separate production increase for the United Arab Emirates, which reaches about 2.5 million barrels per day, or about 2.4 % of demand for the world.

In a statement after the meeting, Opec+ was martyred with a health economy and low shares as reasons behind its decision.

“The actual increases since April have been smaller than the address number and consisted in the first place from barrels from Saudi Arabia and the United Arab Emirates (United Arab Emirates),” Hilima Capital Markets said in a note.

“The bet that the market can absorb the additional barrels that seem to have paid to the reserve capacity holders, with prices not far from the levels of the daytime liberation day.”

(Participated in the coverage of Florence Tandying by Rod Nickel)