By Florence Tan
SENSAVORI (Reuters) – Oil prices have recovered more than one dollar per barrel in early Asian trade on Monday after OPEC+ decided to increase production in July with the same amount that occurred in each of the previous two months, in line with the market expectations.
Brent crude futures rose $ 1.06, or 1.69 %, to $ 63.84 a barrel by 2244 GMT while American crude in West Texas Intermediate was $ 61.95 a barrel, an increase of $ 1.16, or 1.91 %.
On Saturday, the organization of the oil exporting countries and their allies decided to raise production by 411,000 barrels per day in July, which is the third month in a row of the same amount, as the group known as OPEC+ is looking to wrestle the market to its opposite in the market.
The group was expected to discuss a greater increase in production.
“If they had had a greater sudden amount, the two open price would be very ugly,” wrote analyst Harry Chillinguian of Unyx Capital Group on LinkedIn.
Oil dealers said that the output decision was 411,000-BPDs had already been priced in Brent and Future WTI, which fell more than 1 % last week.
(Participated in the reports of Florence Tan; Edit by Sinthia Ostman)
https://media.zenfs.com/en/reuters-finance.com/b566db535f54ca663a36fb49d2c59321
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