2025.04.2817:08:58UTC+00WTI Crude Oil Tumbles on Supply Glut

WTI crude futures fell by more than 2% to slip below $62 per barrel on Monday, driven by concerns that tariff-induced growth issues could reduce fuel demand, while supply levels rose significantly. OPEC+ unexpectedly agreed to increase production by approximately 411,000 barrels per day in May, largely reversing last year's cuts. U.S. shale production remains near an all-time high of 13.5 million barrels per day, amid an increase in the number of active rigs. Additionally, discounted oil from Iran and Russia has further flooded Asian markets, exacerbating the surplus. Although President Trump’s recent tariff concessions, along with Beijing’s selective exemptions and preliminary U.S.–Iran nuclear discussions, have reduced trade war fears, they have not significantly mitigated the oversupply situation. In the political arena, senior officials from the Trump administration have encouraged Russia and Ukraine to further peace talks following a private meeting between Trump and Ukrainian President Volodymyr Zelensky.