WTI Surges Above $61.50 Amid Modest OPEC+ Output Hike by Amit Gupta, Kedia Advisory
West Texas Intermediate (WTI) crude prices climbed above $61.50 after OPEC+ agreed to a smaller-than-expected production increase of 137,000 barrels per day for November. The modest hike signaled the group’s cautious stance amid fragile global demand and ongoing geopolitical risks. Meanwhile, Ukraine intensified its attacks on Russian energy infrastructure, including the Kirishi refinery, further fueling supply concerns. Traders now await the upcoming American Petroleum Institute (API) crude inventory report for additional direction. The combination of restrained OPEC+ output and rising geopolitical tensions continues to underpin bullish sentiment in the oil market.
Key Highlights
* WTI rises above $61.50 amid a limited OPEC+ output hike.
* OPEC+ to raise production by 137,000 bpd from November.
* Ukraine escalates strikes on Russian refineries, heightening supply concerns.
* Traders await API crude stock report for market direction.
* Geopolitical tensions and cautious OPEC+ policy support bullish oil sentiment.
West Texas Intermediate (WTI) crude oil extended its gains, trading around $61.55, after the Organization of the Petroleum Exporting Countries and its allies (OPEC+) announced a smaller-than-anticipated production increase. The group agreed to raise output by 137,000 barrels per day (bpd) for November, maintaining its cautious approach to avoid oversupply while ensuring stable revenue flows.
This restrained output hike, coming after months of gradual increases totaling over 2.7 million bpd this year, underscores OPEC+’s intention to balance market stability against potential demand risks. Traders interpreted the modest boost as supportive for prices, given the group’s reluctance to flood markets despite growing global supply needs.
Adding to the bullish sentiment, geopolitical tensions between Russia and Ukraine intensified. Ukraine reportedly targeted the Kirishi refinery—one of Russia’s largest—marking another escalation in attacks on Russian energy infrastructure. Reports also suggest that the U.S. will support Ukraine with intelligence for long-range strikes on Russian energy assets, aiming to weaken Moscow’s oil revenues.
Meanwhile, market participants are closely monitoring the upcoming American Petroleum Institute (API) weekly crude inventory data, due Tuesday, for further clues on U.S. supply trends. A larger-than-expected drawdown could extend the current upward momentum in oil prices.
Overall, the convergence of limited OPEC+ output growth and rising geopolitical risks continues to lend strong support to crude oil, helping WTI sustain its move above the $61.50 mark.
Finally, WTI’s rally reflects tight supply expectations and heightened geopolitical tensions, with traders eyeing U.S. inventory data for confirmation of continued bullish momentum.
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