Oil prices ease ahead of upcoming OPEC+ meeting

Oil prices declined on Wednesday as investors weighed the prospects of increased energy supply from OPEC+ and ongoing trade tensions between the US and China, Bloomberg reported. Brent crude is holding steady around $65.20 a barrel today. West Texas Intermediate (WTI) is trading above $62 a barrel after a recent drop.

On May 5, OPEC+ is scheduled to discuss a potential increase in fuel supply for June amid internal disputes over compliance.

Zhou Mi, an analyst at a research institute affiliated with Chaos Ternary Futures Co., said that growing disagreements within the cartel and lingering tariff issues are setting the stage for an increase in oil supply, which could lead to further price drops.

Oil prices have fallen sharply this month due to concerns about slowing global economic activity and weak energy demand, analysts from Bloomberg noted. While tensions between the US and China appear to be easing, no initiatives have been taken to unilaterally reduce tariffs.

Meanwhile, crude oil inventories in the US increased by 244 thousand barrels last week, Bloomberg commented.