OPEC+ makes another large oil output hike in market share push
The move marks a full and early reversal of OPEC+'s largest tranche of output cuts plus a separate increase in output for the United Arab Emirates amounting to about 2.5 million bpd, or about 2.4% of world demand.
Eight OPEC+ members held a brief virtual meeting, amid increasing U.S. pressure on India to halt Russian oil purchases - part of Washington's efforts to bring Moscow to the negotiating table for a peace deal with Ukraine. President Donald Trump said he wants this by August 8.
In a statement following the meeting, the group cited a healthy economy and low stocks as reasons behind its decision.
The eight countries are scheduled to meet again on Sept. 7, when they may consider reinstating another layer of output cuts totalling around 1.65 million bpd, two OPEC+ sources said following Sunday's meeting. Those cuts are currently in place until the end of next year.
OPEC+ includes 10 non-OPEC oil producing countries, most notably Russia and Kazakhstan.
The group, which pumps about half of the world's oil, had been curtailing production for several years to support oil prices. It reversed course this year in a bid to regain market share, spurred in part by calls from U.S. President Donald Trump for OPEC to ramp up production.
The eight began raising output in April with a modest hike of 138,000 bpd, followed by larger-than-planned hikes of 411,000 bpd in May, June and July, 548,000 bpd in August and now 547,000 bpd for September.
Oil prices have nonetheless remained elevated with Brent crude closing near $70 a barrel on Friday, up from a 2025 low of near $58 in April, supported by part by rising seasonal demand.
As well as the voluntary cut of about 1.65 million bpd from the eight members, OPEC+ still has a 2-million-bpd cut across all members, which also expires at the end of 2026.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Telegraph
27 minutes ago
- Telegraph
Judge orders halt to construction at Florida's ‘Alligator Alcatraz'
A judge has ordered the halt of construction of a Florida detention facility Donald Trump had nicknamed 'Alligator Alcatraz' and where he claimed would be held some of the most 'menacing' and 'vicious' people on the planet. The facility, operated by the state and with its costs reimbursed by the federal government, opened two months ago with the intention of housing undocumented migrants rounded up as part of the president's immigration crackdown. It is located in the Florida Everglades, something Mr Trump said made it the ideal place to hold the detainees. Yet, its location near Big Cypress National Preserve was something seized on by environmental activists who filed a lawsuit arguing the site threatens the environmentally sensitive wetlands. They are home to many protected plants and animals. 'We're pleased that the judge saw the urgent need to put a pause on additional construction, and we look forward to advancing our ultimate goal of protecting the unique and imperilled Everglades ecosystem from further damage caused by this mass detention facility,' said Eve Samples, executive director at Friends of the Everglades. At the hearing in Miami on Thursday, US District Judge Kathleen Williams issued an order halting new construction for the next week but did not suspend operations at the facility. A spokesperson for Republican Governor Ron DeSantis denounced the ruling but said it 'will have no impact on immigration enforcement in Florida'. 'Alligator Alcatraz will remain operational, continuing to serve as a force multiplier to enhance deportation efforts,' said spokesperson Alex Lanfranconi. Mr Trump made a crackdown on immigration a centre part of his campaign for a second term in the Oval Office. Polls show his policies on deportations are largely popular, though not some of his most extreme steps, such as the rounding up of farm workers and day labourers. When Mr Trump visited the site at the beginning of July, he told reporters: 'It's known as Alligator Alcatraz, which is very appropriate because I looked outside and that's not a place I want to go hiking.' He added: 'But very soon, this facility will house some of the most menacing migrants, some of the most vicious people on the planet.' Mr Trump has also spoken several times of his wish to reopen the original Alcatraz prison, located in the waters off San Francisco and administration officials have toured the facility, which closed as a jail in 1963. In May, he wrote on Truth Social he was ordering all his staff to work towards reopening the prison to house 'America's most ruthless and violent offenders'. He added: 'For too long, America has been plagued by vicious, violent and repeat Criminal Offenders, the dregs of society, who will never contribute anything other than Misery and Suffering.'
Reuters
27 minutes ago
- Reuters
Fourth court blocks Trump's birthright citizenship order nationwide
August 7(Reuters) - U.S. President Donald Trump's order restricting birthright citizenship was blocked nationwide by a fourth court on Thursday, after a judge issued an injunction in a class action covering children born anywhere in the United States who would be affected by it. U.S. District Judge Deborah Boardman in Greenbelt, Maryland, sided with immigrant rights advocates who asked her to halt Trump's order, marking the latest decision to show the limits of a recent U.S. Supreme Court ruling that curtailed the ability of judges to block his directive and other policies nationwide. Trump's executive order, which he issued on his first day back in office on January 20, directs agencies to refuse to recognize the citizenship of U.S.-born children who do not have at least one parent who is an American citizen or lawful permanent resident, also known as a "green card" holder. It was swiftly challenged in court by Democratic attorneys general from 22 states and immigrant rights advocates who argued it violates the citizenship clause of the U.S. Constitution's 14th Amendment, long been understood to recognize that virtually anyone born in the United States is a citizen. Every court to address the merits of order have agreed, and three judges including Boardman earlier this year halted nationwide the enforcement of the policy, which is part of the Republican president's hardline immigration agenda. The 6-3 conservative majority U.S. Supreme Court on June 27 sided with the administration by restricting the ability of judges to issue so-called universal injunctions and directing lower courts that had blocked Trump's policy nationally to reconsider the scope of their orders. But the ruling contained exceptions, allowing federal judges in New Hampshire and Massachusetts and the San Francisco-based 9th U.S. Circuit Court of Appeals to issue decisions stopping Trump's citizenship order from taking effect nationally. The Supreme Court's ruling notably held out the possibility that a lower court judge could halt a federal policy across the country if it was challenged in a class action on behalf of a nationwide group. Immigrant rights advocates seized on that holding and launched two proposed class actions that same day, including the one before Boardman, who had earlier in the same case concluded in February that Trump's order was likely unconstitutional. Boardman, an appointee of Democratic President Joe Biden, in her February decision said Trump's order interpreted the citizenship clause of the U.S. Constitution's Fourteenth Amendment "in a manner that the Supreme Court has resoundingly rejected and no court in the country has ever endorsed." Boardman in a July 16 opinion said she would once again block the policy nationally by granting children class action status at the request of groups including CASA and Asylum Seeker Advocacy Project. But she did not immediately do so, saying because her original decision was still on appeal, she would need the 4th U.S. Circuit Court of Appeals to return the case to her. It did so recently by dismissing the Trump administration's appeal. The case is Casa Inc. et al v. Trump, U.S. District Court for the District of Massachusetts, No. 8:25-cv-00201. For the plaintiffs: Joseph Mead of Georgetown University Law Center's Institute for Constitutional Advocacy and Protection and Conchita Cruz of Asylum Seeker Advocacy Project. For the United States: Brad Rosenberg of the U.S. Department of Justice Read more: US judge reaffirms nationwide injunction blocking Trump executive order on birthright citizenship US appeals court blocks Trump's order curtailing birthright citizenship Judge blocks Trump's birthright citizenship order after Supreme Court ruling Supreme Court in birthright case limits judges' power to block presidential policies
Reuters
27 minutes ago
- Reuters
Oil set for steepest weekly losses since June as tariffs cloud demand outlook
Aug 8 (Reuters) - Oil prices were little changed in early Asian hours on Friday, but were headed for their steepest weekly losses since late-June, as investors expressed concern over the impact to the global economy from tariffs that kicked into effect on Thursday. Brent crude futures were down three cents to $66.40 a barrel at 0050 GMT, on track to decline more than 4% week-over-week. U.S. West Texas Intermediate crude futures were down six cents, or 0.1%, to $63.82 a barrel, set to fall more than 5% on a weekly basis. Higher U.S. tariffs against a host of trade partners went into effect on Thursday. The tariffs raised concerns of weaker economic activity, which would hit demand for crude oil, ANZ Bank analysts said in a note. Oil prices were already reeling from the OPEC+ group's decision last weekend to fully unwind its largest tranche of output cuts in September, months ahead of target. At Thursday's close, WTI futures had dropped for six consecutive sessions, matching a declining streak last recorded in December 2023. If prices settle lower on Friday, it will be the longest streak since August 2021. Adding more pressure on the oil market, the Kremlin on Thursday confirmed Russian President Vladimir Putin would meet U.S. President Donald Trump in the coming days, raising expectations of a diplomatic end to the war in Ukraine. Additional U.S. tariffs against India for buying Russian crude oil helped limit the decline in oil prices to some extent. The move, however, is unlikely to reduce the flow of Russian oil to outside markets in a material way, StoneX analysts wrote to clients on Thursday. Trump on Wednesday also said China, the largest buyer of Russian crude oil, could be hit with tariffs similar to those being levied against Indian imports.
