03.11.202512:20:00UTC+00Oil Fluctuates as OPEC+ Pauses Output Hike

On Monday, West Texas Intermediate (WTI) crude oil futures hovered around $61 per barrel, experiencing minor fluctuations as traders weighed OPEC+’s decision to halt output increases in the upcoming quarter. This decision comes amidst predictions of waning demand and impending oversupply. OPEC+ justified this move by pointing to the usual seasonal downturn, yet numerous analysts predict an oversupply by 2026, given the planned production increases by both OPEC and non-OPEC members. However, the actual growth in output has not matched the anticipated levels. Certain members have been curtailing earlier overproduction, while others face challenges in enhancing their capacity, resulting in approximately 1.2 million barrels per day still pending reinstatement. Additionally, stricter US sanctions have created uncertainty around Russian oil exports. In contrast, the UAE and other oil producers have been trying to allay fears of a potential surplus. The markets have also been on edge, keeping an eye on possible disruptions following a Ukrainian drone attack in the Black Sea that caused damage to a Russian tanker and facilities in Tuapse, where a Rosneft refinery recently came under US sanctions.