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Crude Futures Lower After OPEC+ Deal

OIL

Oil is lower on Monday, pressured after the OPEC+ group agreed to increase output. WTI is down $1.05 from settlement at $70.76/bbl, Brent is down $1.14 at $72.45/bbl. OPEC+ reached a deal to bring an additional 400k bpd of output a month to market until all the remaining 5.8m bpd of output cuts have been restored which would be in September 2022, higher output will start from next month. Under the new agreement UAE, the main dissenter earlier in July, was given a higher baseline for from May 2022, along with Russia, Saudi Arabia, Iraq and Kuwait.

  • At current levels WTI is brushing up against key support at $70.76, the July 8 low and key support. Brent has support at $72.11, also the July 8 low.

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