Brent crude fell to $73.83 per barrel, while West Texas Intermediate (WTI) dropped to $70.20 following a 2% decline on Monday. Though tensions in the Middle East initially raised concerns, reports of Israel focusing on military targets instead of oil or nuclear facilities in Iran eased market fears.
Adding to market fluctuations, OPEC has decided to maintain its current oil output policy, with plans to increase production in December. The organization also reported a drop in Nigeria’s crude oil production, with output averaging 1.32 million barrels per day in September 2024.
The recent volatility reflects a mix of geopolitical uncertainty and OPEC’s strategic decisions. As oil markets adjust to these changes, any further developments in the region or shifts in production policy could significantly impact global prices.