OPEC+ further raises oil production with modest hike from November

Core Viewpoint - OPEC+ will increase oil output by 137,000 barrels per day starting in November, maintaining a modest increase amid concerns of a potential supply glut [1][2][3] Group 1: OPEC+ Output Changes - OPEC+ has raised its oil output targets by over 2.7 million barrels per day this year, representing approximately 2.5% of global demand [2] - The group had previously implemented output cuts peaking at 5.85 million barrels per day in March, which included voluntary cuts and reductions from various members [5][6] - The eight producers are set to fully unwind 2.2 million barrels per day of cuts by the end of September and have begun removing an additional 1.65 million barrels per day starting in October [6] Group 2: Market Conditions and Price Trends - Brent crude prices fell below $65 per barrel, with analysts predicting a supply glut in the fourth quarter and into 2026 due to slower demand and increasing U.S. supply [3] - Current prices are below this year's peak of $82 per barrel but remain above the $60 per barrel level seen in May [3] - OPEC views the global economic outlook as steady, citing healthy market fundamentals due to low oil inventories [5] Group 3: Diverging Views Among Major Producers - Russia supports a modest output increase to avoid pressuring oil prices, citing challenges in raising output due to sanctions related to its war in Ukraine [4] - In contrast, Saudi Arabia preferred a more aggressive increase, suggesting figures ranging from 274,000 to 548,000 barrels per day to regain market share more quickly [4]