Crude-oil futures, in parody with Monday's performance, fell again today to close at the lowest level since November 19. The drop is mostly attributable to rumors that the Organization of Petroleum Exporting Countries (OPEC) may increase oil production at its next meeting, slated December 5 in Abu Dhabi. January crude docked at $94.42 a barrel, finishing with a loss of 3.4%. The black gold hit an intraday low of $94.30 earlier in the session.
Delving in to specifics, Iraqi oil minister Hussein al-Shahristani stated that a half-million barrel-per-day increase in black gold production will be discussed at the aforementioned meeting. Meanwhile, other cartel producers seem ready to increase production if necessary. In related news, the U.S. Energy Information Administration will release the weekly crude inventory report tomorrow, with analysts expecting supplies to taper off by 600,000 barrels (though we all know how accurate they have been in the past).
In the metals pits, gold futures lost approximately 2% in the wake of sagging crude prices and the dollar buffing up. The front-month contract lost $12.50 an ounce after first hitting an intraday low of $808.