OPEC+: Navigating Geopolitical Storms and Production Challenges
OPEC+ is set to meet and decide on increasing oil production amid increasing geopolitical tensions. Despite underlying signs of market weakness, geopolitical factors such as U.S.-Iran tensions and sanctions on Russia are impacting global oil prices and production dynamics.
OPEC+ is poised for a critical meeting on Sunday, where it will determine its next move in oil production amid heightened geopolitical tensions. Despite signs of a loosening physical oil market, the group maintains its confidence in balancing supply and demand through 2026.
Geopolitical pressures have masked underlying market weaknesses, with Brent crude prices climbing to heights not seen since August due to increasing tensions globally. Around one-third of OPEC+ production faces sanctions or is under U.S. control, further complicating the market scenario.
Amid this complex backdrop, OPEC+ may pursue a modest increase in output to signal market confidence while navigating the challenges of geopolitical instability and fluctuating demand projections.
(With inputs from agencies.)

