Oil Rebounds from 3-Day Drop as OPEC+ Slows Output Hikes

WTI crude oil futures climbed 2% to above $63 per barrel on Monday, rebounding from a three-day drop as OPEC+ announced a smaller-than-expected production hike and concerns grew over possible new U.S. sanctions on Russian oil.

The group agreed to raise output by 137,000 barrels per day from October, far below increases of about 555,000 bpd in August and September, and 411,000 bpd in June and July.

Analysts noted that some members are already overproducing, meaning the actual market impact could be limited.

Still, the restrained hike signals caution amid fears of an oversupplied winter market.

At the same time, geopolitical risks are adding upward pressure.

On Sunday, Russia launched its largest air attack of the Ukraine war, striking a government building in Kyiv for the first time.

Meanwhile, President Donald Trump said that some European leaders would visit the US today or Tuesday to discuss ways to resolve the Russian-Ukraine conflict.