The stability of oil prices after Saudi Arabia denied discussing an increase in OPEC production

Oil prices stabilized today, Tuesday, after fears of a global recession and concern that the rise in Corona infections in China would cause a decline in demand from the largest importer of crude oil were met with a positive impact from the decline in the US dollar.
Brent crude futures rose 30 cents, or 0.3%, to $87.75, and US West Texas Intermediate crude futures for January delivery began trading today, Tuesday, up nine cents, or 0.1%, to $80.13 a barrel.

Prices quickly compensated for the losses after the Saudi Press Agency quoted Energy Minister Prince Abdulaziz bin Salman as saying that the kingdom is committed to production cuts and is not discussing a possible increase in production with other oil producers in the Organization of Petroleum Exporting Countries (OPEC), denying the Wall Street Journal report.

“The dollar’s decline was the main factor supporting oil prices,” said CMC Markets analyst, Tina Teng. A weaker dollar makes oil cheaper for holders of other currencies.