Investing.com – Oil prices eased on Thursday as Iranian Oil Minister indicated Iran could accept a modest supply hike ahead of a key OPEC meeting in Vienna on Friday.
Crude Oil WTI Futures for August delivery were trading at $65.50 a barrel at 12:45AM ET (04:45 GMT), down 0.27%.
Brent Oil Futures for August delivery, traded in London, were also down 0.51% at $74.36 per barrel.
Meanwhile, Shanghai Crude Oil WTI Futures for September delivery were down 0.24% at 461.1 yuan per barrel on Thursday.
The OPEC is expected to agree to raise production along with Russia and other producers after a key meeting in Vienna on Friday.
Iranian Oil Minister Bijan Zanganeh said on Thursday that he was feeling “very good” about OPEC’s production levels and indicated Iran could accept a modest supply hike, contracting his comments on Wednesday where he doubted OPEC could reach a deal this week.
“I don’t believe in this meeting we can reach an agreement,” he told reporters on his arrival in Vienna on Wednesday.
"That is a 180 in tone and demeanor from yesterday. In fact, the mood tonight was entirely upbeat," said Helima Croft, global head of commodity strategy at RBC Capital Markets. "I think we've gone from disaster to a happy story."
Saudi Arabia and Russia, both of which have the ability to increase production, are opting for a substantial output hike. Meanwhile, countries without spare capacity, including Iraq, Iran and Venezuela, prefer to keep the supply limits in place.
Oil prices were under pressure earlier this week after U.S. President Donald Trump said on Monday that he has ordered the U.S. Trade Representative to identify $200 billion worth of China goods for additional tariffs, escalating a trade dispute between the world’s two largest economies.
Meanwhile, a drop in U.S. commercial crude inventories reported by the American Petroleum Institute (API) were cited as supporting oil prices on Wednesday.