Geopolitical tensions and shipping disruptions in the Middle East keep oil prices elevated despite expected OPEC+ production increases.
Brent crude prices remain above USD 85 per barrel as Middle East conflicts and shipping risks through key chokepoints tighten supply. OPEC+ is set to raise September output targets by 188,000 barrels per day, but implementation hinges on the Strait of Hormuz staying open for exports.
Recent weeks saw prices fluctuate with US-Iran relations, though no clear de-escalation signals have emerged. OPEC+ core members will meet this Sunday to finalize production adjustments, likely pausing further hikes after September. Tight US inventories add to upward pressure on prices.
Analysts expect Brent to stay elevated in the near term, driven by persistent geopolitical risks and constrained supply. Market sentiment remains sensitive to developments in the Middle East and OPEC+ policy shifts.