Oil prices remained firm during Asian trading on Tuesday, extending the rebound from the previous session. The move followed confirmation from OPEC+ that it would delay planned output increases until the first quarter of 2026, helping underpin prices. Brent crude futures for February edged up to $63.23 a barrel, while U.S. West Texas Intermediate (WTI) climbed to $59.42.
After raising output by around 3 million barrels per day since April, OPEC+ has opted to keep production levels unchanged, a decision that has reassured the market. At the same time, geopolitical risks continue to fuel concerns about potential supply disruptions. Drone attacks on Russian energy facilities by Ukraine, along with rising tensions between Washington and Caracas and hints of tougher U.S. sanctions, have kept investors on alert.
Expectations that the Federal Reserve will cut interest rates next week have also lent support to crude prices. Markets are now pricing in an 85% chance of a 25-basis-point rate cut. While uneven global demand remains a concern, the combination of easing monetary policy expectations and persistent supply-side risks has helped oil prices maintain their upward momentum.