Oil prices rise as OPEC+ decides not to raise output next year

Oil prices in Asia rose in the first session of the week, after the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, decided to postpone plans to increase production in the first quarter of 2026, helping to ease concerns about oversupply, although the increase was limited by weak production data in Asia.

Pumping gas for vehicles at a gas station in Jiangsu, China. Photo: THX/TTXVN

At the end of this session, on the Singapore electronic exchange, the price of North Sea Brent crude oil futures increased by 28 US cents, equivalent to 0.43%, to 65.05 USD/barrel. US light sweet crude oil WTI increased by 25 cents, equivalent to 0.41%, to 61.23 USD/barrel.

The OPEC+ group said on November 2 that it would increase production by 137,000 barrels per day in December 2025, a similar increase in the previous two months. OPEC+ said in a statement that after December, due to seasonal factors, eight countries in the group also decided to suspend production increases in the first three months of 2026.

Warren Patterson, head of commodity research at ING, said the decision reflects OPEC+'s recognition that the market is facing a large supply surplus, especially early next year.

Ms. Helima Croft, Head of Commodity Strategy at RBC Capital, also said that Russia continues to be a “big unknown” in terms of supply, after the US imposed sanctions on two leading Russian oil and gas corporations, Rosneft and Lukoil, and consecutive attacks on the country’s energy infrastructure in the framework of the conflict in Ukraine. Ms. Croft commented that there are many reasons for OPEC+ to be cautious, especially when the first-quarter supply outlook is still uncertain and demand is forecast to weaken.

Brent and WTI crude prices both fell more than 2% in October, marking a third consecutive monthly decline, falling to a five-month low on October 20 due to concerns about oversupply and a gloomy economic outlook as the US imposed new tariffs.

Analysts generally kept their oil price forecasts unchanged as rising OPEC+ output and weak demand overshadowed geopolitical risks, according to a Reuters survey. Estimates of the market surplus ranged from 190,000 to 3 million barrels per day.

Source: https://baotintuc.vn/thi-truong-tien-te/gia-dau-tang-khi-opec-quyet-dinh-khong-nang-san-luong-vao-nam-toi-20251103161548729.htm