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Market Skepticism

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Oil Prices Drop Amid OPEC+ Output Hikes and Oversupply Concerns

Originally Published 5 months ago — by Barron's

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Source: Barron's

Traders remain skeptical about OPEC's ability to significantly increase oil production, which keeps oil prices elevated despite a planned boost of 2.2 million barrels per day. The actual increase in production has been smaller than announced, and capacity limits in countries like Saudi Arabia and Russia suggest prices may fall below $60 later this year, although current prices remain relatively high due to market disbelief.