Brent crude settled at $67.64, down $1.12 (−1.63%), while U.S. West Texas Intermediate (WTI) closed at $65.16, falling $1.13 (−1.7%). Both benchmarks marked their lowest closes in five weeks.
The pressure on prices follows OPEC+’s decision to raise production by 547,000 barrels per day in September, the latest step in reversing its earlier output cuts. The market is now bracing for the group’s September 7 meeting, where a further rollback of up to 1.65 million bpd remains on the table.
On the demand side, U.S. economic data showed stagnation in the services sector and softening job growth in July, feeding uncertainty around consumption trends. Analysts also noted continued concern over high input costs.
Geopolitical risks remain in play but offered little support for prices this session. President Trump reiterated threats of 100% secondary tariffs on countries continuing to import Russian crude. India, a top Russian oil buyer, rejected the tariff warnings, heightening tensions with Washington. Roughly 1.75 million bpd of Russian crude exports to India could be at risk if sanctions are enforced.
Despite the downside momentum, markets are closely watching for developments later this week as the White House prepares to clarify its position on Russian oil sanctions — a decision that could shift the narrative if supply disruptions materialize.