Crude oil prices fall after OPEC+ decides to sharply increase production from September

Crude oil prices fell as OPEC+ increased production by 547,000 barrels per day, amid US threats of sanctions against Russia and concerns about a global economic slowdown.

Crude oil price today 8/4/2025

Crude oil prices extended losses on Monday after OPEC+ decided to increase production by 547,000 barrels per day in September.

Brent prices fell 40 cents, or 0.57%, to $69.27 a barrel, while US WTI prices fell 37 cents, or 0.55%, to $66.96 a barrel.

Both contracts fell about $2 a barrel on Friday, on concerns that the US economy , the world's largest oil consumer, is slowing.

OPEC+ said it would increase output by 547,000 barrels per day from September, continuing a series of moves to restore production to regain market share. The reasons given were a stable global economy and low inventories.

Notably, this is a complete reversal of previous deep cuts, plus a separate increase for the UAE, bringing the total increase to about 2.5 million barrels/day, equivalent to 2.4% of global oil demand.

However, according to Goldman Sachs, the actual increase is only about 1.7 million barrels/day because some countries that pumped above their quotas are cutting back to compensate.

Mixed signals from the market: Expectations of increased supply – fears of recession

Experts from Goldman Sachs predict that OPEC+ will keep production stable after September, when production from non-OPEC countries is expected to grow strongly, making it difficult for the market to absorb more crude oil.

“The push to add more oil to the market this summer appears to have been successful, with prices remaining around pre-tariff levels,” said Helima Croft of RBC Capital Markets.

However, investor sentiment is still cautious due to many factors:

Risk of US imposing more sanctions on Russian and Iranian oil

President Trump threatens to impose 100% tax on Russian oil buyers

Two Russian oil tankers divert away from India after new sanctions

However, India has said it will continue to buy Russian oil, despite pressure from Washington.

Double impact: US economy slows, energy consumption may be affected

In addition to supply factors, concerns about slowing US economic growth are also putting pressure on the oil market.

US jobs data last week missed expectations, raising concerns about fuel demand

US Trade Representative Jamieson Greer says new tariffs will not be lifted in upcoming talks

The combination of increased production from OPEC+, tough US trade policies and an unclear global economic outlook is causing the oil market to face a lot of uncertainty.

Source: https://baonghean.vn/gia-dau-tho-giam-sau-khi-opec-quyet-dinh-tang-manh-san-luong-tu-thang-9-10303816.html