Crude oil prices drop as US hits record high in production.
Crude oil prices faced a decline of -1.39%, settling at 5943, as the United States reached a record high in crude production, estimated at 13.3 million barrels per day.
This surge in crude output, up by 200,000 barrels per day from the previous week, added pressure to oil prices. Concerns about increasing global crude supplies and slowing demand growth also contributed to the downward pressure.
The U.S. achieving a record high in crude production, along with simultaneous record outputs in Brazil and Guyana, raised apprehensions about oversupply in the oil market. Additionally, geopolitical events, such as Angola’s unexpected exit from OPEC, vessel attacks by Houthi rebels disrupting trade in the Red Sea, and the potential for prolonged conflict in Gaza, added uncertainties to the market.
