Oil prices dropped to their lowest levels in three weeks on Tuesday, erasing gains made during the recent Israel-Iran conflict, as easing geopolitical tensions and expectations of a production boost from OPEC+ weighed on sentiment.

Brent and WTI Retreat

At last check:

• Brent crude futures (September) fell 0.3% to $66.57 per barrel.

• West Texas Intermediate (WTI) dropped 0.3% to $63.64 per barrel.

These prices mark the lowest since June 11, just before the Middle East flare-up began. The de-escalation, reinforced by a fragile ceasefire between Israel and Iran, has taken geopolitical risk premiums off the table for now.

OPEC+ Meeting Looms Large

Attention has now shifted to the upcoming OPEC+ meeting, where the group is widely expected to extend its reversal of pandemic-era production cuts. According to Reuters, OPEC+ plans to raise output by 411,000 barrels per day in August, adding to similar hikes made in May, June, and July.

This brings the total 2025 supply expansion to roughly 1.78 million barrels per day, though it still remains short of the cumulative cuts the alliance implemented over the past two years.

U.S. Fiscal Outlook Adds Pressure

The oil market is also being influenced by mounting concerns over a major U.S. tax cut and spending package championed by President Donald Trump. With fears that the plan could significantly widen the fiscal deficit, traders are re-evaluating demand expectations in the world's largest oil importer.

Data to Watch: Use These APIs for Market Monitoring

To stay on top of supply-demand shifts and oil market volatility, we recommend the following relevant APIs:

🔹 Commodities API - Real-Time Crude Data

Track:

• Live price updates for Brent, WTI, and Natural Gas

• Market direction ahead of OPEC+ meetings

• Reaction to geopolitical or macroeconomic news

This data is crucial for energy traders, hedge fund managers, and institutional analysts.

🔹 Economics Calendar API

Monitor key macroeconomic indicators like:

• U.S. petroleum inventories (EIA data)

• OPEC+ announcements and energy briefings

• Trade balance reports from oil-importing countries

Use this to align crude forecasts with economic developments globally.

Conclusion

With the OPEC+ meeting set to dictate the next leg of oil supply strategy, and global tensions receding, oil markets are now recalibrating for a potential surplus environment. While prices are still sensitive to macro shocks, traders are increasingly focused on fundamentals, including supply hikes, U.S. fiscal risk, and global demand trajectories.

Stay alert — because in this market, oil doesn't just burn, it reacts.