Oil prices eased during Asian trading on Tuesday, as investors held off on major moves ahead of a key OPEC+ meeting that could shape the trajectory of global supply.
Market activity remained subdued following public holidays in the United States and the United Kingdom on Monday.
As of 3:05 AEST (5:05 am GMT), Brent crude futures had edged down $0.18, or 0.3%, to US$64.56 per barrel. West Texas Intermediate (WTI) crude slipped $0.25, or 0.4%, to US$61.28 per barrel.
The Organisation of Petroleum Exporting Countries and allies, collectively known as OPEC+, are reportedly considering another production increase at their upcoming meeting, which could influence prices in the near term.
One option under review includes a supply increase of 411,000 barrels per day starting in July, though no final decision has been reached.
OPEC+ is currently in the process of gradually unwinding its output cuts, with phased additions to global markets in May and June.
ANZ analysts noted: "Any data showing a continued lack of adherence to production quotas will strengthen the resolve of Saudi Arabia to punish those members who refuse to cut their output.
"The meeting of the OPEC+ alliance, including the eight members who instigated a voluntary cut of 2.2mb/d, will be held on 31 May."
Meanwhile, geopolitical tensions escalated after U.S. President Donald Trump commented on Russia’s latest actions in Ukraine. Referring to Russian President Vladimir Putin, Trump said Monday that he had "gone absolutely CRAZY" following a large-scale aerial assault on Ukraine.
“I’ve always said that he wants ALL of Ukraine, not just a piece of it, and maybe that’s proving to be right, but if he does, it will lead to the downfall of Russia! Likewise, President Zelenskyy is doing his Country no favors by talking the way he does,” Trump said in a social media post.
