According to a Bloomberg survey, OPEC produced 28.55 million barrels of crude oil per day in August, Commerzbank's commodity analyst Carsten Fritsch notes.

Saudi Arabia produces less than agreed in July and August

"That was 400,000 barrels per day more than in the previous month and roughly corresponds to the agreed increase in production targets for last month. However, July production was revised downwards by 160,000 barrels per day because lower production was reported for Saudi Arabia than in the survey a month ago."

"Saudi Arabia produced less than agreed in July and August, offsetting the significant overshoot in June. Production by OPEC countries bound by quotas therefore exceeded the agreed level by 'only' 340,000 barrels per day in August, which was less than in previous months. OPEC is thus still producing significantly more oil than is needed."

"If we compare August's production volume with the IEA's estimated demand for OPEC oil, the oil market faces an oversupply of 2.8 million barrels per day in the fourth quarter. This does not even include the production increase earmarked for September."