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U.S. oil steadies but outlook remains uncertain

Published 20/10/2015, 13:27
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Investing.com - Oil steadied on Tuesday as traders covered short positions after a week of falls, but the outlook was uncertain as market players looked ahead to a special meeting of the Organization of the Petroleum Exporting Countries and non-OPEC members later in the day.

U.S. crude was at $46.24 a barrel by 1112 GMT while Brent eased to $48.44 a barrel.

The meeting of oil market experts may shed further light on the group's position of maintaining production at current levels as prices remain low.

Major oil exporters in the Middle East are pumping around 2 million barrels per day more crude oil than needed at the moment, analysts say, filling inventories around the world.

On top of this, Iran is expected to boost oil production when international sanctions are lifted after it implements the conditions of a nuclear deal agreed with major world powers.

Investors are also worried about the world economy and its impact on oil demand as growth in China slows.

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