WTI crude oil and RBOB gasoline prices dropped Thursday, with crude hitting a 4-month low and gasoline a 4.5-year low. OPEC+ plans to increase production levels, potentially creating a global oil supply glut. Dollar strength and US government shutdown concerns also weigh on prices.

OPEC+ is expected to fast-track three monthly supply increases of around 500,000 bpd starting in November. September crude production rose to 29.05 million bpd, the highest in 2.5 years. The International Energy Agency predicts a record surplus of 3.33 million bpd next year, contributing to falling prices.

Iraq’s agreement to resume oil exports from Kurdistan could add 500,000 bpd to global markets, increasing global oil supplies. India’s decreased crude imports and rising crude storage on tankers further impact prices. Concerns about the war in Ukraine leading to sanctions on Russian energy exports support prices.

Ukraine’s attacks on Russian refineries reduce crude exports, tightening global oil supplies. The US proposes tariffs on China and India for Russian oil purchases to pressure Russia to end the war. EIA report shows US crude inventories below average. Baker Hughes reports an increase in active US oil rigs.

Read more at Yahoo Finance: Concerns of a Global Supply Glut and Weak Energy Demand Hammer Crude Prices