Oil prices remain stable as concerns over producers' production outstrip US inventory gain

BEIJING (Reuters) – Oil prices remained steady on Wednesday as US producers could not respond to supply shortages once US sanctions against Iran were taken.

Brent LCoC1 futures prices fell 9 cents to 78.92 dollars per barrel at 0334 GMT, after rising 1.3 percent in the previous session.

United States West Texas Intermediate (WTI) CLc1 futures were down 4 cents, or 0.1%, to $ 69.81 per barrel after increasing 1.4% in the previous session .

Prices rose on Tuesday in a media context that Saudi Arabia, the world's largest oil exporter, was comfortable with a price hike of more than $ 80 per barrel.

Reuters reported on September 5 that Saudi Arabia wanted oil to remain between $ 70 and $ 80 per barrel to maintain a balance between maximizing revenues and maintaining prices until the US congressional elections.

The Organization of Petroleum Exporting Countries (OPEC) and non-OPEC producers, including the world's largest producer in Russia, will meet on 23 September in Algiers, Algeria, to discuss how they could increase oil prices. Supply of Iranian oil.

The sanctions imposed by the United States on the Iranian oil sector will come into effect on November 4, although many buyers have already reduced their purchases, which raises questions as to how the market will constitute the lost supply.

Traders took Saudi comments "as a sign that they (Saudi Arabia) would not react aggressively to rising prices with an increase in their own offer," ANZ Bank said Wednesday. "It may also suggest that they do not have the capacity to compensate for the losses that already stem from the impending US sanctions against Iran."

Russia, producing countries of OPEC and non-OPEC countries, has begun to retain its oil supplies in 2017 to end global glut and increase prices.

The producer group said in June that it would accept supply increases from July, although specific targets were not announced at the time.

There are signs, however, that Saudi exports did not increase in July. The country's oil exports dropped to 7.12 million barrels per day last week, down from 7.24 million barrels a day, according to data provided by the Joint Organization Data Imitative.

Supply problems offset the increase in US oil inventories reported late Tuesday.

According to the American Petroleum Institute (API), US crude inventories increased by 1.2 million barrels to $ 397.1 million the week before September 14th.

Stocks of distillate fuels, which include diesel and fuel oil, rose 1.5 million barrels, according to API data.

Official inventory data from the United States Energy Information Administration will be released later on Wednesday.

"Traders are ignoring today's API data, while focusing on Middle East news," writes Stephen Innes, APAC trading manager at OANDA. "The nocturnal conversations suggest that the Saudis are more than happy with a Brent price over $ 80 or that OPEC, more generally, does not plan to increase production."