Brent Slips to $71.88 as OPEC+ Adds 188,000 Bpd and Hormuz Exports Recover
Updated
Updated · CNBC · Jul 6
Brent Slips to $71.88 as OPEC+ Adds 188,000 Bpd and Hormuz Exports Recover
3 articles · Updated · CNBC · Jul 6
Summary
Brent fell 24 cents to $71.88 a barrel and WTI lost 11 cents to $68.58 early Monday as traders priced in more supply from OPEC+ and the Gulf.
OPEC+ agreed Sunday to raise August output targets by 188,000 barrels per day, extending similar increases for June and July even though much of the added supply has yet to materialize.
Gulf producers are reviving shipments after the Iran war disrupted tanker traffic through the Strait of Hormuz; June exports rose more than 3 million barrels from May to above 10 million bpd.
That rebound is still incomplete: Gulf export volumes remained about 40% below pre-war levels, while OPEC output recovered 3.3 million bpd in June to 19.43 million bpd from a more than two-decade low.
Russia is also adding barrels to the market, with crude shipments from its western ports hitting a record in June and expected to stay high in July after Ukrainian drone attacks damaged refineries.