Oil Prices Rebound in Asia as OPEC+ Holds Demand Outlook, U.S. Crude Build Remains Modest
Oil prices climbed during Asian trading hours on Wednesday, recovering from two days of losses. The rebound came as OPEC+ reaffirmed its global demand forecast despite ongoing output increases, while traders digested a smaller-than-expected rise in U.S. crude inventories.
As of 22:17 ET (02:17 GMT), Brent crude futures for September rose 0.4% to $69.01 per barrel, while West Texas Intermediate (WTI) futures gained 0.6%, trading at $66.94 per barrel.
Prices had been volatile earlier in the week after President Donald Trump warned of a “major statement” regarding Russia, fueling concerns about potential supply disruptions. However, crude prices dropped nearly 3% across Monday and Tuesday after Trump stopped short of immediate measures and instead gave Moscow a 50-day deadline to end its war in Ukraine.
OPEC Holds Steady on Demand, Sees Brighter Economic Outlook
OPEC maintained its demand forecasts for 2025 and 2026 in its latest monthly report and expressed confidence in improved economic momentum during the second half of 2025. The group suggested that easing global trade tensions and progress on key U.S. trade agreements would support this outlook.
“Ongoing developments in recent months suggest the possibility of reaching reasonable trade agreements with major U.S. partners, which could help reduce global economic uncertainty,” the report noted.
Still, oil markets remain under pressure due to fears that Trump’s incoming tariffs, set to take effect on August 1, could heighten inflation and drag on economic growth—both of which could negatively impact fuel demand.
OPEC+ also projected that global refinery runs—particularly in the U.S.—would remain elevated to meet peak seasonal demand for products like gasoline, jet fuel, and residual fuels.
Despite this, OPEC+ continues to ramp up production, with a planned output increase of 548,000 barrels per day (bpd) for August.
API Reports Modest U.S. Crude Build
According to a Reuters preview of the American Petroleum Institute (API) data for the week ending July 11, U.S. crude inventories likely rose by 839,000 barrels, marking a relatively minor increase compared to the previous week’s substantial 7.1 million-barrel jump, which was linked to reduced refinery activity during maintenance season.
Gasoline inventories were reported to have increased by 1.93 million barrels, while distillate stocks were up by 828,000 barrels.
