The world’s major oil producers agreed to raise output again, a move that raised fears of a supply glut and could further dampen prices.
OPEC+ is looking to reclaim market share lost to US shale producers and maintain discipline within the group — some members stand accused of violating quotas — while the group’s heavyweight member, Saudi Arabia, is likely hoping that lower prices will please US President Donald Trump.
Still, the increase was a relatively small one, a careful step taken “after witnessing how nervous the market had become,” one analyst said.
“The real test will come when fundamentals and politics shift again.” High geopolitical volatility makes predicting the market’s future even more difficult than usual, a Reuters columnist argued.