Crude oil prices declined on Tuesday as investors weighed an anticipated increase in OPEC+ production alongside the resumption of oil exports from Iraq’s semi-autonomous Kurdistan region via Turkey, stoking concerns about a potential oversupply.
November Brent crude futures, expiring on Tuesday, fell 28 cents, or 0.4%, to $67.69 a barrel by 06:30 GMT, while December contracts were down 33 cents, or 0.5%, at $66.76 a barrel. U.S. West Texas Intermediate (WTI) crude was trading at $63.16 a barrel, down 29 cents, or 0.5%. Monday had already seen Brent and WTI post their largest single-day drops since August 1, each sliding over 3%.
The declines follow the weekend restart of crude shipments from Kurdistan and reports that OPEC+ is likely to approve a November production boost, IG analyst Tony Sycamore told clients.
Sources familiar with OPEC+ discussions suggested the alliance—including OPEC members and Russia—is expected to add at least 137,000 barrels per day to output when it meets on Sunday.
“Although (OPEC+ is) under their quota anyway, the market still does not seem to like the fact that more oil is coming in,” said Marex analyst Ed Meir.
On Saturday, crude flowed through a pipeline from northern Iraq’s Kurdistan region to Turkey for the first time in two and a half years, following an interim agreement that resolved a long-standing impasse, according to Iraq’s oil ministry.
Markets remain cautious, balancing supply-side risks—mainly from Ukrainian drone attacks on Russian refineries—with concerns over excess inventory and weak demand.
Further bearish sentiment has been fueled by the looming possibility of a U.S. government shutdown, which could disrupt services and delay economic data releases, including the Friday payrolls report that Fed policymakers closely monitor, ANZ analysts noted on Tuesday.
Elsewhere, President Donald Trump secured Israeli Prime Minister Netanyahu’s support for a U.S.-backed Gaza peace plan, though Hamas’s position remains unclear.
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