OPEC+ Announces End of Cuts, Oil Prices Plunge

The price of Brent plunged below $80 after OPEC+ announced that production cuts would be phased out in October.
The oil market is going through a period of turbulence followingOPEC+‘s recent announcement to phase out its production cuts, and Iran’s approval to increase oil production. This decision led to a significant drop in crude oil prices, with North Sea Brent falling below $80 a barrel, a level not seen since February.
For Tamas Varga, analyst at PVM Energy, this fall is explained by the market’s disappointment at OPEC+’s decision to relax some of its production restrictions, despite still uncertain global demand. The announcement comes against the backdrop of a hybrid videoconference and face-to-face meeting in Riyadh, where OPEC+ members discussed the organization’s future strategy.