Oil Prices Ease as Traders Assess US Tariffs, OPEC+ Output Hike
Oil Holds Steady Amid US Tariff Moves, Red Sea Tensions
Oil Prices Expected to Drop Below $60 on Increasing OPEC+ Supply
OPEC+ may increase production by 0.55 million barrels per day in September, fully lifting the voluntary production cut plan.
OPEC+ may accelerate the lifting of the voluntary production cuts for eight member countries, assisting the UAE in completing its quota adjustment. If the production increase is implemented in September, the organization's total increase over six months will reach 2.47 million barrels per day.
Analyst: OPEC+ production increase coupled with tariff threats, the outlook for oil prices is bleak.
Gelonghui, July 7 | Analyst Priyanka Sachwa from Financial Institutions Phillip Nova pointed out in a research report that the ongoing uncertainty surrounding Trump's tariff policies will continue to put pressure on oil prices.
Did Trump get what he wanted? OPEC has initiated a new round of supply shocks, and the global oil market may face a "surplus wave".
The OPEC+ online video conference announced an increase of 0.548 million barrels per day in August in just 10 minutes, exceeding market expectations, marking a significant policy shift for the organization from production cuts to reclaiming market share. This move will intensify the risk of global crude oil supply surplus, with Goldman Sachs forecasting that oil prices will further drop to $60. Analysis indicates that low oil prices help meet Trump's call for lower fuel costs but put pressure on profitability for U.S. shale oil companies and OPEC member states.