FX.co ★ Oil Set for 2nd Weekly Loss

WTI crude oil futures have dropped towards $60.9 per barrel, marking a potential second consecutive weekly decline. This downturn comes as traders analyze a mix of indicators ahead of the OPEC+ meeting scheduled for Saturday. Kazakhstan has suggested that the group is inclined to announce a production increase for July; however, the precise volume, possibly ranging between 400,000 and 600,000 barrels per day, remains undecided, contributing to ongoing concerns about supply. In terms of demand, revised US GDP data reveals a 0.2% contraction in the first quarter, casting doubt on fuel consumption. Nevertheless, a more significant-than-expected reduction of 2.8 million barrels in US crude inventories provides some support, indicating strong seasonal demand. Additionally, a US court decision nullifying certain tariffs from the Trump era momentarily boosted sentiment, although its impact on oil was limited as macroeconomic and supply-related issues remained predominant.