The Stagnant Oil Market May Soon Get a Kick-Start By News from Upcoming OPEC+ Meeting and Speculations about Donald Trump’s Tariffs

The price of WTI oil futures for January at the New York Mercantile Exchange increased by $0.58 (0.84%) to $69.52 per barrel. Global crude prices are supported by the development of two biggest geopolitical conflicts — still raging despite Donald Trump’s promises to tackle them even before his inauguration, as well as this new development — namely, Baghdad's statements regarding its commitments under OPEC+.

Canadian and Mexican oil producers could be forced to cut prices and shift supply to Asia if U.S. President-elect Donald Trump imposes a 25% import tariff on crude oil from Canada and Mexico. Oil will not be immune to a potential increase in tariffs on imports from Canada and Mexico, despite warnings from the U.S. oil industry that the policy could hurt consumers, industry, and even national security.

Meanwhile, the oil market is fully focused on this Sunday's OPEC+ meeting after senior representatives of the alliance's three largest producers met on Tuesday.

It’s highly likely that the meeting’s agenda will be enriched by the news about Iraq, currently in talks with OPEC+ co-chair countries Russia and Saudi Arabia. According to Saudi Arabia's energy ministry, the Iraqi representative said it was fully committed to the deal, given the new compensation schedule for oil production above the quota set by the alliance in previous months.