Global oil markets experienced a 1% decline on Monday, driven by two key factors: easing Middle East tensions and anticipated supply increases.
The Iran-Israel ceasefire, announced by President Trump after a 12-day conflict, removed much of the geopolitical risk premium that had pushed Brent crude above $80 per barrel. Prices have now retreated to $67.11 for Brent and $64.58 for WTI crude.
Looking ahead, OPEC+ is expected to approve another production increase of 411,000 barrels per day at their July 6 meeting, marking the fifth consecutive monthly output boost since April. Despite the recent decline, oil prices remain on track for a second straight monthly gain exceeding 5%.