FX.co ★ Brent Steady After Biggest Monthly Drop Since 2021

Brent crude oil futures remained steady at approximately $61 per barrel on Thursday, following their most significant monthly decrease since 2021. This decline is attributed to the anticipation of a new surge in oil supply led by Saudi Arabia within the OPEC+ coalition, exacerbating concerns over dwindling demand amid a global trade conflict. Reports have surfaced indicating that Saudi Arabia has been consulting with its allies and industry experts, expressing its reluctance to stabilize the market through further output reductions and its readiness to withstand extended periods of lower prices. This has fueled speculation that OPEC+ might announce an increase in production during their meeting scheduled for May 5. Furthermore, the U.S. economy's contraction in the first quarter, its first in three years, underscores the economic turmoil sparked by President Donald Trump’s assertive trade policies. Nevertheless, a larger-than-anticipated reduction in U.S. crude inventories last week offered some price support.