Global oil prices are showing an increase, which experts believe is linked to investor expectations regarding the outcomes of negotiations between the US and China. Market participants hope that diplomatic progress between the two largest economies in the world will lead to a reduction in trade tensions and, consequently, an increase in demand for energy resources.
This is reported by Finway
Oil Dynamics and the Role of Key Players
On Tuesday, June 10, futures for North Sea Brent crude rose by 28 cents, reaching $67.32 per barrel. US West Texas Intermediate (WTI) crude increased by 23 cents, reaching $65.52 per barrel.
US President Donald Trump expressed optimism regarding the negotiations with China, noting that he is receiving “only good reports” from his team.
“The ongoing shift to a market strategy (in OPEC) will push the oil market into a significant surplus in the second half of 2025 and will almost certainly lead to a decrease in oil prices,” says Daniel Hynes, senior commodity strategist at ANZ.
Geopolitical Factors and OPEC+ Position
Amid optimistic expectations regarding US economic policy, additional influencing factors have emerged from Iran. Tehran announced its intention to soon present Washington with a counterproposal regarding the nuclear deal, as it considers the current US proposal “unacceptable.” If US sanctions against Iran are eased, the country could increase its oil exports, which may affect global supply and prices for “black gold.”
Furthermore, OPEC+, the alliance that includes OPEC members and allies such as Russia, is accelerating the implementation of its plan to roll back production restrictions. Experts note that this decision could contribute to a surplus in the oil market in the second half of 2025, which, in turn, creates risks for further price declines.
Overall, the situation in the oil market remains volatile: rising prices are influenced by positive expectations from US-China negotiations and employment data in the US. At the same time, OPEC+’s decision to increase production is likely to be a significant factor in adjusting price trends in the future.