Oil Price Edges Up

Oil prices rose on Tuesday after Saudi Arabia said it had cut production in July, although concerns over a slowdown in global economic growth kept a lid on markets. Benchmark Brent crude oil was up 60 cents at $73.21 a barrel; light crude was 60 cents higher at $67.80, Reuters reported. Saudi Arabia told the Organization of Petroleum Exporting Countries that it had reduced crude output by 200,000 barrels per day to 10.29 million bpd in July. OPEC itself, using secondary sources, estimated in a report published on Monday that Saudi production was at a slightly higher level of 10.39 million bpd last month. The lower Saudi output comes at a time of expected export declines from Iran, as the United States reimposes sanctions on Tehran’s oil industry. But output from non-OPEC countries, particularly the United States, is rising quickly, limiting demand for OPEC oil. Global oil demand is also rising, but not as fast as supply.