Investing.com - U.S. oil futures fell to fresh seven-year lows on Friday, after the Organization of Petroleum Exporting Countries said it pumped the most crude in more than three years last month, adding to concerns over a glut in global supplies.
U.S. crude futures for January delivery were last at $36.27 a barrel, the weakest since February 2009, down 1.37% for the day.
On the ICE Futures Exchange in London, the January Brent contract were down 1.60% at $39.10 a barrel, a level not seen since February 2009.
In its December monthly report released on Thursday, OPEC said crude production rose by 230,100 barrels a day in November to 31.695 million, the most since April 2012, as the cartel pressed on with a strategy to protect market share and pressure competing producers.
Non-OPEC supply will fall by 380,000 barrels a day next year to 57.14 million, with an expected contraction in the U.S. accounting for roughly half the drop, the organization said.
Oil futures are down more than 11% since OPEC failed to agree on output targets last week. As a result, crude prices are expected to remain stubbornly low amid a glut of oversupply on global energy markets.
Crude oil was also under pressure amid expectations that the Federal Reserve is on track to raise interest rates for the first time since 2006 at its upcoming meeting on December 15-16.
Higher interest rates would make the dollar more attractive to yield-seeking investors.
Dollar-denominated oil futures contracts tend to fall when the dollar rises, as this makes oil more expensive for buyers in other currencies.