Oil plunges 17% in third quarter

October 01, 2024 (MLN): Oil steadied at the start of the new quarter as China's efforts to support its economy offset tensions following the fallout from Israel's killing of Hezbollah's leader over the weekend.

Brent crude traded near $72 a barrel. The global crude benchmark plunged almost 17% in the third quarter of 2024.

While West Texas Intermediate was above $68.

Israel’s military said it has begun targeted raids against Hezbollah targets in southern Lebanon.

Libya is preparing to restore production after its two rival governments reached a compromise, Bloomberg reported, citing people familiar with the situation.

Expectations that OPEC+ will make good on plans to bring back production, as well as a slowdown in China — even after massive stimulus was unveiled last week — have weighed on prices.

OPEC+ will hold an online monitoring meeting on Wednesday, as the alliance prepares to increase production. The group will start restoring supply in December and isn’t discussing any new proposals, Russian Deputy Prime Minister Alexander Novak said last week.

Israel had been stepping up its assault on Hezbollah in Lebanon since it killed the Iranian-backed group’s chief on Friday.

Oil prices have so far not reacted to the escalation, with the production of crude in the Middle East largely unaffected by the hostilities.

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