Crude Oil Prices Stabilise After Sharpest Drop in a Month

On Thursday, September 4, 2025, Crude oil prices steadied after a steep decline, as markets digested a mix of bearish signals, from potential OPEC+ supply increases to weak U.S. economic indicators and a surprise jump in American crude stockpiles.

WTI Holds Near $63, Brent Slips Below $68

In the early trade, West Texas Intermediate (WTI) traded around $63 a barrel, while Brent crude settled below the $68 mark. The decline was largely triggered by reports suggesting that OPEC+ could consider increasing output at its upcoming policy meeting this weekend. Still, several delegates indicated that no final decision has been reached, with Saudi Arabia and its allies continuing internal discussions.

US Economic Activity Shows Signs of Stalling

In the world's largest economy, growth momentum appears to be fading. According to the Federal Reserve’s Beige Book, most regions saw “little or no change” in economic activity in recent weeks. Adding to the concerns, job openings in July fell to their lowest level in 10 months, reflecting waning demand for labour amid mounting policy uncertainty.

OPEC+ Eases Cuts as Supply from Rivals Surges

Oil has declined more than 10% year-to-date, as OPEC+ rapidly rolls back its pandemic-era output cuts in an effort to regain lost market share. At the same time, production from non-OPEC+ countries has climbed, intensifying worries about oversupply — especially as global demand faces pressure from ongoing trade tensions driven by the Trump administration’s tariff policies.

Also Read: Sensex Weekly Expiry: RBL Bank Under F&O Ban on September 4

Bearish sentiment deepened after an industry report estimated a 2.1-million-barrel increase in crude inventories at the Cushing, Oklahoma, storage hub last week. If confirmed by official data expected later Thursday, it would be the biggest stockpile gain since March — reinforcing fears of a growing supply overhang.

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