Oil prices drop after OPEC+ decision to raise July production

By Zeynep Beyza Kilic

ANKARA (AA) - Oil prices slightly fell on Friday as OPEC+ countries agreed to increase July output by 648,000 barrels per day (bpd).

International benchmark Brent crude was trading at $117.12 per barrel at 0710 GMT for a 0.42% decrease after closing the previous session at $117.61 a barrel.

American benchmark West Texas Intermediate (WTI) was at $116.27 per barrel at the same time for a 0.51% loss after the previous session closed at $116.87 a barrel.

The 23-member group of the Organization of Petroleum Exporting Countries (OPEC) and allies, known as OPEC+, agreed on Thursday to lift output by 648,000 bpd in July, up from 432,000 barrels in recent months.

Oil price decrease remains limited as experts believe the decision to raise daily production falls short of closing the gap created by less output from Russia and will be inadequate to meet global demand.

EU leaders have also agreed to cut 90% of oil imports from Russia by the end of 2022.

Meanwhile, COVID-19 restrictions ended in China's city of Shanghai on Wednesday after two months of lockdown. Fuel demand is expected to increase in the country, adding to the fear of tight global supply.