West Texas Intermediate (WTI) oil price increased early in the European session, trading at $58.46 per barrel, up from $58.43 the previous day. Brent Crude also rose to $62.54, compared to $62.52 before. WTI is one of the three main types of crude oil used as a benchmark in the oil market. It is known as “light” and “sweet” because it has low gravity and low sulfur content. Several factors influence WTI prices, including supply and demand, global economic growth, political instability, and OPEC decisions.

Impact of Inventory Reports

Oil inventory changes play a key role in WTI prices, with reports from the American Petroleum Institute (API) and the Energy Information Agency (EIA) closely monitored. These reports can shift views on supply and demand, directly impacting oil prices. OPEC, which includes 12 member countries, decides on production quotas that affect global oil prices. Their choices to increase or decrease production impact supply and therefore market prices. OPEC+ adds ten non-OPEC members, including Russia, which also influences the oil market. Currently, WTI crude shows a slight bullish trend, trading at around $58.46 per barrel. This comes after the EIA’s report yesterday, which revealed an unexpected inventory drop of 2.1 million barrels, suggesting stronger demand than anticipated. This data eases earlier market concerns about a slowdown. The weakening US Dollar is helping boost oil prices. The Dollar Index (DXY) is now nearing the 99.00 level, making dollar-denominated commodities like oil cheaper for foreign buyers. This currency effect may help maintain demand as the year ends.

OPEC and Market Dynamics

Looking ahead, the key event will be the OPEC+ meeting on December 4th in Vienna. There is speculation that the group might announce further production cuts to support prices into early 2026. Any surprises could lead to significant price fluctuations. Global demand signals are currently mixed, causing some uncertainty. Recent data from October 2025 shows that China’s industrial output grew by a steady 4.6%, a good sign for energy use. However, sluggish industrial production figures from the Eurozone in September indicate that European demand may remain weak. Historically, WTI prices in the high $50s are much lower than the $80-$90 range seen during the supply shocks of 2023 and early 2024. This indicates that the market is more concerned about demand risks than supply issues. Traders should consider using options to hedge against potential downturns and prepare for volatility around the OPEC+ meeting. Create your live VT Markets account and start trading now.

here to set up a live account on VT Markets now