On Thursday, oil prices declined as concerns about supply due to extended production restrictions in Saudi Arabia and Russia overcame concerns about demand due to a cyclical slowdown throughout the winter and an unclear economic picture for China.

Brent crude futures dipped 36 cents to $90.24 per barrel by 0645 GMT, meanwhile US WTI futures slumped by 37 cents to $87.17 per barrel

The world's two largest oil exporters, Saudi Arabia and Russia, extended voluntary production cutbacks through the end of the year, which caused both benchmarks to soar earlier in the week. These came in addition to the April cuts that certain OPEC+ producers agreed to implement through the end of 2024.

Participants in the market also analyzed mixed data from China. In August, overall exports decreased 8.8% from the previous year while imports decreased 7.3%. Though imports of crude rose 30.9%.

The market was also restrained by worries about growing oil production from Iran and Venezuela, which could partially offset cuts from Saudi Arabia and Russia.