Oil Prices Decline Amid Expectations of New OPEC+ Production Increase

SadaNews - Oil prices fell today, Tuesday, after expectations for a new increase in production by the "OPEC+" coalition and the resumption of crude exports from the Kurdistan region of Iraq through Turkey raised concerns about a surplus in supply in the coming period.

Brent crude futures for November delivery, which expire today, declined by 47 cents or 0.6% to record $67.53 a barrel. In contrast, U.S. West Texas Intermediate was traded at $63.10 a barrel, down 55 cents or 0.3%.

This decline follows losses from yesterday, Monday, when both Brent and West Texas fell by more than 3% at the close, marking the largest daily losses since early August 2025.

Tony Secamore, an analyst at "IG", noted in a memo that "the drop in prices was driven by the resumption of crude exports from Kurdistan, alongside expectations that the OPEC+ coalition will approve a new production increase for November during its upcoming meeting next week," according to Reuters.

Three informed sources revealed that the coalition is likely to approve an increase of no less than 137,000 barrels per day in its scheduled meeting next Sunday.

For his part, Ed Meir, an analyst at "Marex", explained that "OPEC+ is already producing less than its allotted share, but markets do not seem comfortable with the prospect of more oil flowing into the market."

In a related context, the Iraqi Ministry of Oil announced that crude began to flow on Saturday through a pipeline from the Kurdistan region of northern Iraq to Turkey for the first time in two and a half years, following a temporary agreement that ended the stalemate.

Markets remain cautious in recent weeks, balancing supply risks primarily arising from Ukrainian drone attacks targeting Russian refineries against concerns of oversupply and weak demand.

On another note, U.S. President Donald Trump received approval from Israeli Prime Minister Benjamin Netanyahu for an American peace proposal regarding the Gaza Strip, while the position of the "Hamas" movement remains unclear so far.