Tense Market! Will OPEC+ Make a Surprise This Weekend?
The world crude oil price is currently moving steadily near its lowest level since early June. Brent is trading below $67 per barrel, while WTI is around $65. The market is now shifting its focus to the OPEC+ meeting next Sunday, where the group of major producers is expected to agree to a fourth consecutive increase in monthly production quotas.
The OPEC+ move, especially led by Saudi Arabia, aims to regain global market share. After three months of turmoil, oil prices fell sharply due to President Donald Trump's tariff plan in April, spiked after Israel's attack on Iran in June, then fell again when tensions eased.
According to Saxo Bank analyst Ole Hansen, the high volatility in recent times has made many traders reluctant to take aggressive positions. "Traders are still traumatized by the extreme movements that have just occurred," he said, while warning of the potential for a decrease in market liquidity in the near future.
Now, the market’s attention is on two things: whether demand will pick up as the summer progresses, and how much additional supply OPEC+ will release into the market. The balance between these two factors will determine the direction of oil prices in the coming weeks.
Source: (ayu-newsmaker)
