Oil is ready to show seventh week of losses after Saudi Arabia informed that its output most likely reached record level, while US oil stockpiles keep accumulating, Bloomberg reports.

Futures in New York fell by 3,3% and losing as much as 5,6% this week. Saudi Arabia produces more than 10,7 million barrels per day, while inventories in the US have been growing for nine weeks already.

Oil market collapse this month was triggered by exceptions from US sanctions allowing some countries to buy oil from Iran. Oil volatility grew to the highest level since 2016 this year, as investors tried to avoid assets with high risk.

Situation might be reversed after US-China talks as well as based on results of agreement that OPEC and its partners might achieve in regards to output cuts next year.

Price of WTI oil dropped to $52,82 per barrel. Oil Brent fell by 1,04% to $61,95 per barrel. This week it lost 7,2%.