Oil drops on glut and profit-taking beat back optimism over OPEC meeting
On Tuesday, oil prices went down on ongoing concerns over a global crude glut. Another reason was taking profits by investors on revenues of almost 3% from last session, thus beating down upwards momentum from a probable gathering of crude producers.
On Monday, Venezuelan Oil Minister Eulogio del Pino told that another gathering between OPEC as well as non-OPEC countries might take place in the nearer weeks as the crisis-stricken South American nation looked for support to back up weak oil markets.
Some OPEC representatives have told that a global oil output freeze could be discussed at a newly scheduled September gathering of the organization, though non-OPEC Russia, the world's number one oil producer, said it doesn’t see any grounds to hold production at current levels.
Since the plunge in crude prices that started in mid-2014, Venezuela has repeatedly tried to broker deals in an attempt to freeze production and also reduce a supply glut, with limited success.