Crude oil and gasoline prices fell Monday after OPEC+ raised crude production levels, sparking concerns of a global supply glut. Prices recovered slightly due to dollar weakness and Trump’s threat to increase tariffs on India for buying Russian oil.

OPEC+ endorsed an additional 547,000 bpd increase in crude production for September 1, aiming to reverse a 2-year production cut. The International Energy Agency warns of a surplus by Q4-2025, with OPEC July production at 28.31 million bpd.

Trump’s threat to raise tariffs on US imports from India and JPMorgan Chase’s warning of potential supply shocks from new tariffs on Russian oil support crude prices. The EU approved fresh sanctions on Russian oil, including restrictions on Russian petroleum refined in other countries.

Vortexa reported a 15% decrease in crude oil stored on tankers that were stationary for at least seven days, boosting oil prices. EIA data showed US crude oil inventories below seasonal averages, with crude oil production at 13.314 million bpd.

Baker Hughes reported a decrease in active US oil rigs to a new 3.75-year low of 410 rigs, signaling a sharp decline from the 5.25-year high of 627 rigs in December 2022. Rich Asplund has no positions in securities mentioned.

Read more at Yahoo Finance: Global Oil Glut Concerns Weigh on Crude Prices