Oil Falls Below $69 as OPEC+ Boosts Supply and Hormuz Shipping Recovers

Crude oil prices traded below $69 a barrel on Monday, hovering near their lowest levels since late February as improving shipping conditions through the Strait of Hormuz and higher OPEC+ production weighed on the market.

The decline follows signs that maritime traffic through one of the world’s most strategically important energy corridors is returning to normal after recent regional disruptions, easing concerns over potential supply interruptions.

OPEC+ Continues Production Increase

OPEC+ agreed to increase collective production quotas by 188,000 barrels per day next month, extending its gradual rollback of production cuts introduced in previous years.

The decision reflects the group’s view that global market conditions can accommodate additional supply while maintaining price stability.

Several major Gulf producers have already accelerated output.

Saudi Arabia’s crude exports are approaching pre-conflict levels as oil tankers continue transiting the Strait of Hormuz without significant disruption.

Meanwhile, the United Arab Emirates has fully restored its shipping operations after normalizing exports following the recent regional conflict.

Shipping Through Hormuz Shows Further Improvement

Maritime activity through the Strait of Hormuz also continued to recover over the weekend.

Oil and liquefied natural gas tanker traffic showed further signs of normalization on Sunday, one day after several vessels made unexplained route changes and temporary detours through the strategic waterway.

The Strait of Hormuz handles roughly one-fifth of global oil consumption, making any disruption to vessel traffic closely monitored by energy markets.

Supply Outlook Pressures Prices

The combination of recovering Gulf exports and additional OPEC+ production has shifted market attention away from recent geopolitical risks toward improving global supply conditions.

The increase in available crude comes as traders continue assessing the balance between supply growth and global demand, with OPEC+ signaling confidence that markets can absorb higher production.

Although geopolitical developments remain a key source of uncertainty for energy markets, the latest trading session suggests investors are placing greater weight on expanding supply and improving logistics across the Middle East.