US Crude Production Hits Record Amid Iraq Export Surge, Russian Sanctions

Oil prices have stabilized around $61 per barrel amid mixed factors affecting the market. US President Trump has enforced stringent sanctions on major Russian oil producers Lukoil and Rosneft, aiming to pressure Russia in the Ukraine conflict, which could reduce Russian oil supply and support prices. Meanwhile, OPEC+ is expected to increase production by roughly 137,000 barrels per day, contributing to concerns about a potential oil surplus. Iraqi crude exports reached a record high in September, further adding to supply concerns and sparking discussions about production quotas within OPEC+. On the demand side, optimism surrounding a trade truce between the US and China, with a planned meeting between President Trump and President Xi Jinping, is providing support to oil prices by easing fears of a trade war that would reduce global demand. Additionally, US crude production reached a record high, while inventory drawdowns have been reported, reflecting complex dynamics between supply and demand factors in the oil market.