There was buzz earlier in the week about talks between Saudi Arabia and other OPEC members that crude oil production would be increased.
As a result, oil prices, which have already been depressed due to the new wave of Covid-19 in China, plunged to an 11-month low on Monday.
The rumor comes from the Wall Street Journal which reports a production increase of 500,000 barrels per day is being discussed for the next OPEC meeting in early December.
Despite that, the report was denied by Saudi Arabia's Energy Minister Prince Abdulaziz bin Salman who said OPEC and its allies better known as OPEC+ do not discuss such matters.
US WTI oil traded sharply below $76 a barrel on the news, before rebounding to trade around $80 a barrel in the Asian session.
Meanwhile, Brent crude oil dropped significantly at around $82 per barrel, but rebounded to trade at $87 per barrel in today's trading session.
In the meantime, the worsening Covid-19 situation in China continues to limit crude oil trading especially after control measures were tightened in the city of Beijing.
