SINGAPORE – Oil prices climbed in early Asian trade on Monday after OPEC+ decided to delay production hikes in the first quarter of next year, easing growing fears of a global supply glut.
According to market data, Brent crude futures rose by 47 cents, or 0.73%, to $65.24 a barrel, while U.S. West Texas Intermediate (WTI) increased 45 cents, or 0.74%, to $61.43. Both benchmarks recorded modest gains after ending slightly higher in the previous session.
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In its statement on Sunday, the Organization of the Petroleum Exporting Countries and its allies (OPEC+) confirmed that it would raise output by 137,000 barrels per day in December, maintaining the same level as in October and November. However, the group decided to pause production increments for January, February, and March 2026 due to market uncertainty.
Analyst Helima Croft of RBC Capital noted that the decision reflects “a cautious approach” amid “anticipated demand softness” and ongoing geopolitical risks, particularly following U.S. sanctions on Rosneft and Lukoil and Ukrainian drone strikes on Russian energy facilities.
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Despite the latest gains, oil prices have fallen for three consecutive months, with Brent and WTI both losing over 2% in October. Analysts say rising OPEC+ supply, record U.S. output, and sluggish demand continue to offset geopolitical risks, keeping market sentiment mixed.