Oil markets tepid as focus shifts to upcoming OPEC meeting

Oil markets were relatively dormant on Monday as investors were reluctant to take any future positions ahead of an OPEC meeting on November 30th. Traders expect the OPEC meeting to further extend the curbs into 2018.

Brent crude futures, the international benchmark for oil prices, were at $62.56 per barrel at 0439 GMT, down 16 cents, or 0.3 percent, from their last close.

U.S. West Texas Intermediate (WTI) crude futures were at $56.59 a barrel, up 4 cents, or 0.1 percent, from their last settlement.

Traders were reluctant to take new positions as the OPEC meeting is expected to take the cuts well in to 2018.

OPEC is expected to extend cuts into the future as inventories have been up despite severe drawdowns during the last year. The supply to the markets has fallen in the recent months as Saudi led OPEC along with Russia have cut their output throughout the last 2 years in an effort to rebalance the markets.

Despite OPEC led cuts, data from US continues to show a recovery in Shale output in the recent weeks as investors increase their supply to take benefit of the position. However, in US, the number of rigs drilling for new oil production remained unchanged in the week to Nov. 17, at 738, data from oil services firm Baker Hughes showed on Friday.