West Texas Intermediate (WTI) crude oil edged higher in early Asian trading on Tuesday, hovering near $62.15. The upside came after the Organization of the Petroleum Exporting Countries and allies (OPEC+) signaled a slower pace of production growth in the coming months.
The alliance, led by Saudi Arabia, agreed to lift output by 137,000 barrels per day starting in October. The increase is modest compared with prior hikes of 555,000 barrels in August and September, and 411,000 barrels in June and July, underscoring the group’s cautious approach to balancing supply.
Expectations of tighter global supply also lent support, with markets bracing for potential new US sanctions on Russia. Over the weekend, Ukrainian officials reported Russia’s largest air assault of the war, which struck central Kyiv, ignited the main government building, and killed at least four people, including a child. In response, President Donald Trump said Washington is ready to move to a second phase of sanctions, targeting Russia or its oil buyers.
Looking ahead, traders await the American Petroleum Institute’s (API) weekly crude inventory report due later Tuesday. A surprise build in stockpiles could signal weaker demand and limit WTI’s near-term gains.
