Oil Prices Continue to Decline Amid Oversupply and US Demand Worries

Written by Emily J. Thompson, Senior Investment Analyst

Source: Reuters

Updated: Sep 12 2025

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Source: Reuters

Oil Price Trends: Oil prices fell slightly, with Brent crude at $66.07 and U.S. West Texas Intermediate at $62.06, following significant declines due to concerns over U.S. demand and oversupply, despite geopolitical tensions in the Middle East and Ukraine.
OPEC+ Production Increases: OPEC+ plans to raise oil output quotas in October, with Saudi Arabia increasing exports to China, while the International Energy Agency predicts a faster-than-expected rise in global oil supply this year.
Russian Oil Revenue Decline: Russia's oil revenue dropped significantly in August, with plans to reduce ESPO Blend oil loadings from its Kozmino port, reflecting the impact of ongoing sanctions and the conflict in Ukraine.
U.S. Economic Indicators: Rising U.S. consumer prices and increased unemployment aid applications suggest potential interest rate cuts by the Federal Reserve, which could stimulate economic growth and boost oil demand, despite a recent increase in U.S. crude stocks.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.