Oil dips below $89, eyeing faster OPEC+ hike | Reuters

Oil dips below $89, eyeing faster OPEC+ hike | Reuters

Oil slipped on Tuesday, staying close to a seven-year high, weighed by speculation OPEC+ could go further than expected to add supply at a meeting this week and expectations of a rise in U.S. inventories.

While the Organization of the Petroleum Exporting Countries and allies, known as OPEC+, has been expected to maintain its policy of gradual production hikes at a meeting on Wednesday, Goldman Sachs said there was a chance of further steps.

"We view growing potential for a faster ramp-up at this meeting, given the pace of the recent rally and the likely pressure from importing nations," the bank said in a Jan. 31 report, adding the outcome remained "evenly balanced" between an accelerated response and a status quo increase.

Brent crude was down 51 cents, or 0.6%, at $88.75 a barrel at 1238 GMT. U.S. West Texas Intermediate crude slipped 63 cents, or 0.7%, to $87.52.