Oil prices were moving lower on Monday after OPEC+ decided to keep output unchanged through the first three months of the year.
Concerns over sluggish demand in China, a stronger dollar and the prospect of a production revival in Venezuela also weighed on prices.
Benchmark Brent crude futures fell over 1 percent to $60.13 a barrel, while WTI crude futures were down 1 percent at $56.73.
OPEC+ agreed to maintain stable oil production at its meeting on Sunday, despite falling oil prices on fears of oversupply, and tensions between Saudi Arabia and the UAE.
The eight countries – Saudi Arabia, Russia, UAE, Kazakhstan, Kuwait, Iraq, Algeria, and Oman – raised their production targets by 2.9 million barrels per day from April to December 2025, which is almost 3 percent of global oil demand.
On the data front, a private survey showed that China’s services activity expanded at its slowest pace in six months in December, as growth in new business softened and foreign demand declined.
Amid weak consumer spending at home and growing scrutiny from global trading partners, China’s broader economic backdrop remains worrisome.
Meanwhile, the dollar rose on increased geopolitical uncertainty after the U.S. moved to oust Venezuela’s President Nicolas Maduro over the weekend.
It is feared that U.S. President Donald Trump’s pledge to run the county and unlock vast reserves could deepen a global supply glut.
Oil Prices Edge Lower On Supply Glut Concerns
2026-01-05 09:40:39
