Oil Falls After Saudi Price Cuts

• Oil prices fell on Monday after Saudi Arabia's sharp cuts to crude contract prices for Asia revived concerns over the demand outlook. 
• Brent crude futures fell 39 cents to settle at $72.22 a barrel. U.S. West Texas Intermediate crude was last down 40 cents at $68.89 a barrel. 
• State oil group Saudi Aramco notified customers in a statement on Sunday that it will cut October official selling prices (OSPs) for all crude grades sold to Asia, its biggest buying region, by at least $1 a barrel. 
• The price cuts were larger than expected, based on a Reuters poll of Asian refiners. Global oil supplies are increasing as the Organization of the Petroleum Exporting Countries and its allies, a grouping known as OPEC+, are raising output by 400,000 barrels per day (bpd) each month between August and December. This is expected to put downward pressure on oil prices for the rest of 2021.

(Source: Reuters)