Rhetoric continues to drive the oil market as market watchers seek production interventions amid the crude glut.
The latest to join the Middle East's production freeze discussion is Kuwait, which produces 3 million barrels of oil per day. The country said Tuesday that it will freeze output only if all major producers participate, including Iran, which is publicly against a freeze.
After the news, the internationally traded Brent broke a six-day winning streak to settle down 3 percent at $39.65 on the day. In the same vein, WTI settled down nearly 4 percent at $36.50.
While OPEC and other oil producing countries mull over a freeze, Chevron CEO John Watson told CNBC that the company expects U.S. oil production to decline by about 100,000 barrels per month, month over month.
"A million barrels per day of surplus production is starting to dissipate and that's why you're seeing some strengthening in the oil markets over the last couple of weeks," he told "Closing Bell."