Vienna (The Times Groupe)- Oil prices fell on Friday as OPEC+ countries agreed to increase July production by 648,000 barrels per day (bpd).
International benchmark Brent crude was trading at $117.12 per barrel at 0710 GMT, down 0.42% from the previous session’s close of $117.61 a barrel.
At the same time, American West Texas Intermediate (WTI) was $116.27 a barrel for a loss of 0.51% after closing at $116.87 a barrel the previous session.
OPEC+, or the Organization of Petroleum Exporting Countries and its allies, decided on Thursday to increase output by 648,000 barrels per day in July, up from 432,000 barrels in recent months.
As a result of the decision to raise daily production, oil prices remain limited as experts believe that it will fall short of closing the gap created by Russia’s lower output and will be insufficient to meet global demand.
The EU has also agreed to cut 90% of oil imports from Russia by the end of 2022.
Following two months of restrictions, COVID19 restrictions ended Wednesday in Shanghai, China. Fuel demand in the country is expected to increase, adding to the fear of tight global supplies.