Oil producers' cartel Opec is likely to keep output steady at a meeting in Abu Dhabi later, despite pressure to raise production to dampen prices.
Oil producers' cartel Opec is likely to keep output steady at a meeting in Abu Dhabi later, despite pressure to raise production to dampen prices.
"We've seen nothing yet to justify an increase or a decrease," said Saudi oil minister Ali Al-Naimi.
"We've seen nothing yet to justify an increase or a decrease," said Saudi oil minister Ali Al-Naimi.
A barrel of US light sweet crude rose eight cents to $88.40 a barrel, far below recent highs, when it passed $99.
A barrel of US light sweet crude rose eight cents to $88.40 a barrel, far below recent highs, when it passed $99.
Prices had fallen on talk that Opec would raise output and reports that downplayed Iran's nuclear ambitions.
Prices had fallen on talk that Opec would raise output and reports that downplayed Iran's nuclear ambitions.
"Our position is that demand and supply are balanced and there is no need to increase oil on the market," said Iranian oil minister Gholamhossein Nozari.
"Our position is that demand and supply are balanced and there is no need to increase oil on the market," said Iranian oil minister Gholamhossein Nozari.
Mixed views
Mixed views
Opec members account for 40% of the world's oil supply.
Opec members account for 40% of the world's oil supply.
Officials from Qatar, Venezuela, Iran and Libya have previously spoken against the need to pump more oil, while ministers from Indonesia, Nigeria and Kuwait said they were still open to increases.
Officials from Qatar, Venezuela, Iran and Libya have previously spoken against the need to pump more oil, while ministers from Indonesia, Nigeria and Kuwait said they were still open to increases.
Some Opec ministers have argued that there are enough supplies to keep consumers warm in winter. They blame speculators for volatile prices.
Some Opec ministers have argued that there are enough supplies to keep consumers warm in winter. They blame speculators for volatile prices.
Recent falls in the oil price have made analysts doubt that Opec will announce any rise in output quotas.
Recent falls in the oil price have made analysts doubt that Opec will announce any rise in output quotas.
"It is not whether Opec raises production or not - they already have - but it is whether or not they legitimise that overproduction by raising their quotas," wrote Phil Flynn, an energy analyst with Alaron Trading.
"It is not whether Opec raises production or not - they already have - but it is whether or not they legitimise that overproduction by raising their quotas," wrote Phil Flynn, an energy analyst with Alaron Trading.
"$90 a barrel is the line in the sand and if oil is below $90, like I expect it will be then Opec will not raise their production," Mr Flynn added.
"$90 a barrel is the line in the sand and if oil is below $90, like I expect it will be then Opec will not raise their production," Mr Flynn added.
Oil prices lost ground on Tuesday, following a report that downplayed Iran's nuclear ambitions.
Oil prices lost ground on Tuesday, following a report that downplayed Iran's nuclear ambitions.
Tension between the US and Iran has contributed to the rally in oil prices.
Tension between the US and Iran has contributed to the rally in oil prices.
The US report by the National Intelligence Estimate said Iran had halted its nuclear weapons programme in 2003, contradicting the US administration's previous view.
The US report by the National Intelligence Estimate said Iran had halted its nuclear weapons programme in 2003, contradicting the US administration's previous view.
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