Investing.com -- Oil prices reversed gains Thursday, shrugging off a much larger decline in weekly crude stocks and OPEC+ delaying plans to ramp up output by two months.
At 14:02 p.m. EST (1802 GMT), Nymex crude oil futures were down 0.4% to $69.84 a barrel, while the Brent contract fell 0.3% to $72.52 a barrel.
OPEC+ delays output hikes by two months
OPEC+ said it push back its plans to lift output in October by two months to allow members of the group that had overproduced crude to bring production in-line the voluntary production cut agreement.
OPEC and its allies, or OPEC+, had been leaning toward a 180,000 barrel-per-day output hike in October as part of its plan to ease production cuts.
But Iraq and Kazakhstan had been overproducing since January 2024, and the group said it "wanted to ensure full compliance from all members."
The two-month delay comes at a time when the soft outlook for crude demand, led by ongoing wobble in China's economy, has stoked concerns within the group. The plan to phase out the production cuts is now set to begin in December this year though to November 2025.
US crude stocks fall more than expected
U.S. crude oil stocks fell by 6.9M barrels in the week ended Aug. 30, a sharper decline that the 600,000 barrel decrease expected, driven by a declining imports.
Gasoline stocks, however, rose more than expected as the U.S. summer driving season, a period of strong demand, moved into the rearview mirror.
The end of the summer driving season typically also heralds a period of weaker refining activity ahead of maintenance season, which usually kicks off around mid-September.
Refinery activity was unchanged from the prior week at 93.3%, with crude inputs averaging about 16.9M barrels per day, up 36,000 barrels from the prior week, the EIA said.