FX.co ★ Oil Heads for Weekly Decline

WTI crude oil futures rose slightly to $61.6 per barrel on Friday, though they were on track to record their first weekly decline in three weeks. This downturn is largely due to increasing expectations that OPEC+ will maintain its strategy of boosting production. The consortium is anticipated to agree next week to elevate output by an additional 411,000 barrels per day in July, with a strategy to completely eliminate the 2.2 million barrels per day of voluntary cuts by October. This expected increase in supply has overshadowed previous geopolitical tensions, such as reports of Israel's potential strikes on Iranian nuclear sites and new EU-UK sanctions aimed at Russia’s oil sector. Additionally, a US crude inventory that rose greater than projected contributed to the downward trend. Market participants are also keeping an eye on the Baker Hughes rig count figures and the progress of US-Iran nuclear negotiations being held in Rome.