Oil prices down ahead of OPEC meeting

OPEC meets in Vienna this Thursday, June 2.

© REUTERS - DADO RUVIC

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Oil prices were down on Thursday, June 2 on the markets amid speculation about an increase in Saudi production.

On Wednesday, crude prices were at their highest since March.

Investors hope OPEC members and their Russian-led allies decide to increase production when they meet in Vienna on Thursday

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OPEC finds itself in a delicate position.

Russian oil production is down by about 1 million barrels a day, due to the embargo of Western countries.

So, will OPEC compensate on the international market for this drop at the risk of offending Moscow?

Or will she prefer to preserve her ally?

Speculation is rife.

The

writes that OPEC members were studying the possibility of excluding Russia from the agreement fixing current production quotas.

Should such a scenario occur, it would give Saudi Arabia and the UAE a free hand to increase production to appease the market.

According to the

, the Saudi kingdom would be ready to produce more in the event of a substantial drop in Russian production.

This is what caused the decline in crude oil prices this morning, a decline of more than 2%.

Whatever OPEC decides today, some analysts believe that its members will not be able to make up all the lost volumes.

They are already struggling to meet their quotas.

►Also read: OPEC+ is not determined to influence the price of oil

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