Market Insider

Russia revs up oil bears ahead of OPEC meeting

Commodities tomorrow: Awaiting OPEC

Russia revved up the oil bears ahead of what could be a momentous OPEC meeting later this week.

Traders have been speculating that the Organization of the Petroleum Exporting Countries could cut production, as some of its members have been calling for ahead of Thursday's meeting. So the appearance in Vienna, Austria, of Rosneft's chief executive, Igor Sechin, caused a swirl of rumors and talk about agreements and production cuts.

But Sechin's meeting with Saudi Arabia, Venezuela and fellow non-OPEC member Mexico did not turn up an accord, and Sechin said that Russia cannot cut production now. He said after the meeting that Rosneft may curb some capital projects that would ultimately impact supply. He also said the current oil price isn't critical for Russia.

U.S. West Texas Intermediate fell 2.2 percent to a four-year low of $74.09 per barrel. Brent also dropped and was trading at about $80 in late afternoon.