Oil Prices Set for Sharpest Weekly Decline Since June Ahead of OPEC+ Meeting

Group 1 - Crude oil prices are experiencing their steepest decline in four months, with Brent crude at $64.53 per barrel and West Texas Intermediate at $60.86 per barrel, reflecting an 8.3% drop for Brent and a 7.6% decline for WTI since the start of the week [1] - OPEC+ is expected to extend its production boost, potentially adding another 500,000 barrels per day at the upcoming meeting on October 5, which poses a downside risk for oil prices [2] - Goldman Sachs forecasts a smaller increase of 140,000 barrels daily in OPEC+ production, but suggests that the hike could be larger due to market fundamentals, including a decline in U.S. stockpiles to the lowest level in eight months [3] Group 2 - Demand from Asia remains strong, with expectations of solid Chinese demand and stockpiling, alongside a seasonal increase in oil demand as the heating season approaches [4] - There are indications of a potential oil glut, with unsold cargoes of Middle Eastern oil ranging from 6 to 12 million barrels in the latest spot market cycle, which typically would be purchased by buyers from India and China, but this is not occurring currently [5]