FX.co ★ Oil Declines on Anticipation of Higher Supply from OPEC+ Meeting

WTI crude oil futures declined by over 1% to $58.30 per barrel on Friday, following the unexpected decision by OPEC+ to advance its meeting to Saturday. This move has intensified concerns of an imminent increase in supply. The rescheduling indicates mounting pressure to address declining prices and an oversupplied market, particularly with expectations that Saudi Arabia will advocate for another production increase. Oil prices have decreased by approximately 7% this week, influenced by the rise in US production and tepid demand from China. Many traders now anticipate that OPEC+ will authorize an additional supply boost, building on last month's unexpected hike that tripled initial projections. Although there was some optimism due to news of potential trade talks resuming between China and the US, it was insufficient to counter the prevailing bearish outlook.