FX.co ★ Oil Hits 2-Week Low

West Texas Intermediate (WTI) crude oil futures declined, nearing the $60 per barrel mark on Thursday and reaching their lowest point in two weeks. This drop followed reports that OPEC+ members are contemplating a significant production increase. One potential measure being discussed is an increase of 411,000 barrels per day for July, though no definitive decision has been finalized. This potential rise in production heightened already existing market concerns about oversupply, compounded by the unexpected increase in U.S. crude stockpiles as reported by the Energy Information Administration last week. The overall negative market sentiment was further fueled by a broad financial market sell-off, driven by apprehensions regarding the expanding U.S. deficit. Investors were also keenly observing the developments leading up to the fifth round of nuclear talks between the U.S. and Iran scheduled for this weekend. These discussions contributed to alleviating anxieties over possible disruptions in Middle Eastern oil supplies, following reports of potential Israeli military action against Iranian nuclear sites earlier in the week.