Oil prices sideways as oversupply worries return

Oil prices were little changed on October 7, as investors weighed a smaller-than-expected increase in output by top oil producers in November against signs of a potential supply glut.

Workers work at an oil refinery in Hasakah province, Syria. Photo: THX/TTXVN

Brent crude futures closed down 2 cents, or 0.03 percent, at $65.45 a barrel. U.S. West Texas Intermediate (WTI) crude futures rose 4 cents, or 0.06 percent, to $61.73 a barrel.

In the previous session, the prices of both types of oil closed up more than 1% after the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC oil producers (collectively known as OPEC+) decided to increase their combined oil production by 137,000 barrels per day from November 2025.

Analysts at ING bank said the move, which contradicted market expectations for a sharper increase, showed OPEC+ remained cautious about forecasts of a global supply glut in the fourth quarter of 2025 and next year.

Notably, the US Energy Information Administration (EIA) said on October 7 that the country's oil production is expected to reach a record 13.53 million barrels per day this year, up from the previous forecast of 13.44 million barrels per day.

Global oil inventories are also expected to expand next year as non-OPEC+ countries lead the way in increasing production, which will put significant downward pressure on prices in the coming months, according to the EIA.

Geopolitical factors have put a floor under oil prices in the past, with the conflict between Russia and Ukraine weighing on energy commodities and creating uncertainty about Russian crude supplies. Russia’s Kirishi refinery had to shut down its most efficient distillation unit after an attack on October 4, two industry sources said on October 6. Recovery is likely to take about a month.

Source: https://baotintuc.vn/thi-truong-tien-te/gia-dau-di-ngang-khi-noi-lo-du-cung-quay-tro-lai-20251008074229522.htm