Oil Prices Hover Near Four-Year Highs As Saudi, Russia Agree To Supply Rise

Oil held near four-year highs on Oct. 4, supported by the imminent loss of Iranian supply through U.S. sanctions, but also tempered by the prospect of a rapid production boost from Saudi Arabia and Russia.

Brent crude oil futures were down 19 cents at $86.10 a barrel by 6:33 a.m. CST (11:33 GMT), having risen to a late 2014 high of $86.74 the day before. U.S. West Texas Intermediate crude futures fell 17 cents on the day to $76.24.

“Prices will probably rise further into overshoot territory. Once we see $90 I would expect decisive supply reaction,” Commerzbank strategist Carsten Fritsch told the Reuters Global Oil Forum. “Major economies won’t let oil prices rise to triple digits and harm economic growth.”