The Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, have decided to increase crude oil production by 411,000 barrels per day for July.
This marks the third consecutive month at this production level, following similar increases in May and June.
This decision comes after a period of volatility in the oil market.
Crude oil prices experienced a dip last week, largely due to concerns that then-U.S. President Donald Trump’s tariff policies could trigger an economic slowdown and consequently reduce global demand for oil.
Historically, OPEC+ began cutting oil production in 2022 to support prices.
However, Saudi Arabia, Russia, and six other member nations recently surprised the market by opting to raise output for May and June, a move that is now being extended into July.
This aligns with past calls from the former U.S. President for Saudi Arabia to boost production to lower oil prices and provide more affordable fuel for American consumers.