OPEC+ oil production increase puts downward pressure on energy prices — Reuters

On Monday, oil prices hit a four-year low after the Organization of the Petroleum Exporting Countries (OPEC) and its allies agreed to another production increase in June. The alliance plans to further boost crude output, Reuters reports.

However, the Energy Information Administration (EIA) expects OPEC+ oil output to remain below the group’s target level. According to the EIA’s forecast, the alliance’s supply will rise by about 200,000 barrels per day (bpd) to 42.9 million bpd in 2025.

The US president's unpredictable policies in recent months have also significantly impacted energy prices. Analysts interviewed by Reuters suggest this situation could negatively affect global economic activity.

The EIA projects US oil production to reach 13.42 million bpd this year, rising slightly to 13.49 million bpd in 2026. The agency forecasts WTI crude will average $6.81 per barrel next year—more than $2 below its previous estimate.