Oil prices drop as traders anticipate OPEC+ output hike for July
From Yahoo Finance: 2025-05-29 21:35:00
U.S. crude futures dropped as traders anticipated OPEC+ would increase oil output for July. Brent settled at $63.90, down 0.39%, and WTI finished at $60.79, down 0.25%. The potential output hike caused prices to dip, with front-month contracts facing over 1% weekly losses.
OPEC+ may discuss a larger output increase for July, as the global surplus grows to 2.2 million bpd. JPMorgan analysts expect prices to remain within the current range before easing into the high $50s by year-end. Trump’s Truth Social post on China tariffs also pressured crude prices.
U.S. energy firms cut the number of oil and gas rigs for the fifth consecutive week to the lowest since November 2021, according to Baker Hughes. The total count decreased by 37 rigs, or 6%, from last year. Oil rigs fell to 461, the lowest since November 2021, while gas rigs rose to 99.