Oil prices rise after two sessions of losses despite expectations of an increase in supply

Global oil markets witnessed a slight recovery during trading on Friday, after two consecutive sessions of losses, despite expectations of an increase in oil supply and rising global inventories.

Limited rise in prices

The price of WTI for June delivery rose by 0.19 dollars, reaching 61.81 dollars per barrel, while Brent for July delivery recorded an increase of 0.24 dollars, settling at 64.77 dollars per barrel.

Market pressure factors

Despite this recovery, the markets are still affected by several bearish factors, the most prominent of which are:

Oil supply increase:

the OPEC alliance plans to raise its production by 411 thousand barrels per day in June, which increases concerns about excess supplies.

Weak global demand:

the International Energy Agency pointed to a slowdown in oil demand growth over the coming months, predicting a decline to 0.65 million barrels per day in the last quarters of 2025, compared to 0.99 million barrels per day in the first quarter.

The possible return of Iranian Oil:

former US President Donald Trump's statements about the possible easing of sanctions on Iran have raised fears that Iranian oil exports will return to the market, which could increase downward pressures.

Expectations of an increase in inventories:

The International Energy Agency expects global stocks to rise by an average of 720 thousand barrels per day this year, and 930 thousand barrels per day in 2026, after declining during 2024.

In the end, despite the slight recovery, oil prices remain under multiple pressures, most notably the slowdown in global economic growth and increased production, which raises questions about the ability of prices to maintain their current levels in light of these challenges.