HG MARKETS:

Oil prices were rebounded by early losses on Monday as merchants estimated the market’s general market even after OPEC+ agreed to increase production more than expected next month. Oil prices were rebounded by early losses on Monday as merchants estimated the market’s general market even after OPEC+ agreed to increase production more than expected next month. The group known as OPEC+, the petroleum export and alliance organization announced on Saturday that it would increase 548,000 barrels per day (BPD) in August. The campaign has surpassed an increase of 411,000 barrels per day, and was already introduced in May, June and July, each three times faster than the original group’s narrow calendar.

The group also warned that it was considering another increase of 548,000 b/d in September at its next meeting on August 3. The decision points to a continuation from 2.2 million voluntary barrels at COPD after the reduction. Nevertheless, the initial losses quickly faded when Saudi Arabia raised the August price of flagship Arab oil to as many as four months in Asia. President Donald Trump said on Sunday that the US is approaching many trade agreements and that by July 19 it will begin notifying partners of price increases, with new rates expected to come into effect on August 1.

The revised time scale delays the implementation of 3-week prices and creates opportunities for new trade agreements. However, US price concerns cover global demand outlook, as they fear trade barriers that can slow economic activity and reduce energy consumption.