Crude oil fell more than Tuesday amid expectations that the Organization of Petroleum Exporting Countries may boost production for 2008.
OPEC member nations will enter into discussions tomorrow. Iran, Qatar, Libya and Venezuela said today that the supplies are sufficient and there is no need to produce more.
However Saudi Arabia's oil minister has said that all options are open.
Traders are also awaiting a US Energy Department weekly report on inventories to be released on Wednesday.
Crude oil fell $0.99 to $88.32 per barrel on the New York Mercantile exchange at 2:48 p.m.
The market is idling at the moment waiting for a clear signal from OPEC and of course looking ahead to tomorrow's EIA data, said Simon Wardell, oil analyst with Global Insight in London according to AP.