FX.co ★ Oil Falls for Third Session

WTI crude oil futures decreased toward $63 per barrel on Friday, marking the third consecutive session of declines and setting the stage for a weekly loss. This downturn comes as investors anticipate the OPEC+ meeting, where the focus will be on possible production increases. Industry experts predict that OPEC+ might raise output to regain market share that has been ceded to US shale producers. The increase in production by both OPEC+ and independent drillers has sparked concerns about a potential global oil surplus. Contributing to the pessimistic outlook, US commercial crude inventories rose by 2.4 million barrels last week, with a notable increase of 1.6 million barrels at Cushing, Oklahoma—the largest rise since March—indicating waning demand. Factors such as slowing economic growth in the US, the anticipated end of the summer driving season, and trade tariffs have further dampened fuel demand forecasts. Additionally, President Trump made an appeal to Europe on Thursday to cease importing Russian oil, a move that could reduce Russian exports and potentially drive global oil prices upward.