Oil prices slipped again on Friday, extending losses for the third consecutive month, as a strong U.S. dollar and rising global supply outweighed the effects of Western sanctions on Russian oil.
📉 By 00:27 GMT:
- Brent crude fell $0.33 (–0.51%) to $64.67 per barrel
- West Texas Intermediate (WTI) dropped $0.35 (–0.58%) to $60.22 per barrel
Analysts at ANZ Group noted that the dollar’s strength is dampening investor interest across commodities, including oil.
💬 The U.S. dollar climbed after Federal Reserve Chair Jerome Powell signaled that a December rate cut is uncertain, according to Reuters — further tightening financial conditions for commodity markets.
Oil prices are on track to fall roughly 3% in October, as global production growth continues to outpace demand. OPEC and other producers are reportedly boosting output to protect market share, even as Western sanctions curtail Russian exports to China and India.
⚙️ OPEC+ is expected to discuss a modest production increase during its meeting next Sunday, according to market sources.
Additional data underscore the growing supply:
- Saudi Arabia’s exports hit a six-month high in August at 6.407 million barrels per day, per JODI data.
- The U.S. Energy Information Administration (EIA) reported record production at 13.6 million barrels per day last week.
These factors combined are reinforcing downward pressure on global oil prices as the market weighs ample supply against moderating demand and monetary policy uncertainty.
