Cairo: Oil prices rose by more than one dollar per barrel on Monday, supported by the decision of the OPEC+ group to increase production in July by the same amount as in the previous two months. Brent crude futures climbed $1.46, or 2.33%, to $64.24 per barrel, after closing down 0.9% on Friday. West Texas Intermediate (WTI) crude rose to $62.45 per barrel, up $1.66, or 2.73%, after a 0.3% decline in the previous session. Despite today gains, both benchmarks posted a weekly loss of over 1% last week. The Organization of the Petroleum Exporting Countries (OPEC) and its allies decided on Saturday to increase production by 411,000 barrels per day in July, marking the third consecutive month of similar production hikes.

According to Qatar News Agency, the decision by OPEC+ reflects an effort to balance the oil market amid fluctuating demand. The continued production hikes come as global economies gradually recover from the impacts of the pandemic, leading to increased energy consumption. However, the weekly losses in both Brent and WTI benchmarks suggest ongoing volatility in oil markets. The gradual production increases are part of a broader strategy by OPEC+ to incrementally return supply to the market, aiming to stabilize prices while meeting the demand from recovering economies.