"Oil Deficit Looms as Saudi Arabia Slashes Supply, Deepening Rift with U.S."

The oil market is expected to face its biggest deficit in over a decade as Saudi Arabia extends its output cuts and Russia continues to limit exports. The amount of oil OPEC is pumping in the third quarter falls short of meeting demand by about 1.8 million barrels per day, and this deficit is projected to widen in the fourth quarter. If OPEC production remains flat, inventories could shrink by 3.3 million barrels per day, the most since at least 2007. Crude oil prices rallied after the OPEC data was released, with West Texas Intermediate crude climbing 2% to $89.05 a barrel and Brent crude rising 1.7% to $92.18. Saudi Arabia may be aiming to bring oil prices up to $100 a barrel to finance domestic projects.