FX.co ★ Oil Drops After Two-Day Gain

WTI crude oil futures dropped to $61.3 per barrel on Tuesday following a two-day increase, as investors assessed a smaller-than-anticipated output boost by OPEC+ alongside enduring concerns of oversupply and weak demand outlooks. On Sunday, the producer group decided to elevate production by 137,000 barrels per day, mirroring the increase in October and falling short of earlier expectations for a more substantial rise. This decision coincides with growing exports from Venezuela, the restart of Kurdish crude shipments through Turkey, and the availability of unsold Middle Eastern barrels slated for November loading, all contributing to the global supply. However, potential supply disruptions from Russia partially cushioned the decline. Reports indicated that over the weekend, a drone attack by Ukraine on Russia's Kirishi oil refinery suspended its most productive distillation unit, with recovery efforts possibly taking up to a month and temporarily tightening regional supply.