Reply #3: Oil sinks below $62, Saudi deepens Jan supply curbs [View All]

LONDON (Reuters) - Oil prices eased below $62 on Monday, extending last week's losses, as concern over brimming global fuel inventories offset a likely second supply cut by
OPEC and news of deepening Saudi export curbs.

The Organization of the Petroleum Exporting Countries (OPEC) meets on Thursday in Nigeria. OPEC agreed to lower output by 1.2 million barrels per day from November 1.

On Friday, OPEC President Edmund Daukoru said he favored a further reduction to counter hefty stockpiles, particularly in the United States, where crude inventories are at the highest level for this time of year since 1993.

But some traders remain doubtful that the reduction will be enough to head off a near-term supply glut, particularly if winter weather remains mild. The U.S.
National Weather Service on Sunday predicted significantly warmer than usual conditions in the eastern United States over the next 6 to 10 days.

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