FX.co ★ Oil Jumps as OPEC+ Confirms July Output Hike

WTI crude oil futures saw a 2% increase, approaching $62 per barrel on Monday, following OPEC+’s announcement to augment output in July as anticipated by the market. The coalition decided on Saturday to boost production by 411,000 barrels per day, marking the third consecutive month of identical increases. This represents a pivotal strategic adjustment aimed at curbing excess production by countries like Iraq and Kazakhstan, while enabling major oil producers such as Saudi Arabia and Russia to reclaim market share. Additionally, geopolitical tensions are exerting upward pressure on oil prices. Notably, Ukraine conducted drone strikes targeting four military airbases inside Russia, destroying over 40 aircraft, concurrently as Russia retaliated with missile and drone attacks on Ukraine. These developments unfold as both nations are set to engage in a second round of peace negotiations in Istanbul later today.