Oil prices drop 22% in Q3, Brent crude below $88

Oil prices declined, on Sept. 30, to record sharp monthly and quarterly losses amid the continued concerns about global economic recession and weak crude demand. 

OPEC members produced 29.81 million barrels per day (bpd) in September, the highest since April 2020, an increase of 210,000 bpd compared with August, Reuters reported.

The US drilling rig count increased two units to 604 in the week ended Sept. 30, General Electric Co.’s Baker Hughes energy services firm said in its closely followed report on Friday.

Markets are watching OPEC+ discussions about oil output cut next week, although any supply cut is still under study.

Oil prices recorded sharp quarterly losses, amid the continued interest-rate hikes by global central banks to combat inflation, which increases the possibility of global economic recession and weak crude demand.

Brent crude futures for November delivery fell by 0.6%, or $0.53, to $87.96 a barrel, recording monthly and quarterly losses of 11% and 22%, respectively.

Meanwhile, US West Texas Intermediate (WTI) crude futures also dropped 2.1%, or $1.74 a barrel, to $79.49 a barrel, recording monthly and quarterly losses of 11% and 25%, respectively.