OPEC+ keeps supply taps open, dollar firms across the board
OPEC+ confirmed a fifth consecutive monthly supply increase, a widely expected move that left crude prices flat, while the US dollar strengthened against major currencies as risk sentiment softened.
OPEC+ added to global oil supply for a fifth consecutive month, with Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman all participating in the latest increase. The widely anticipated decision had little impact on crude prices, which traded largely unchanged on the session, suggesting the market had already priced in the move.
The confirmation of additional supply comes as the US dollar reasserted itself across the board. USD/JPY tracked back toward 161.80, while the euro, sterling, Australian dollar and New Zealand dollar all lost ground against the greenback. The firmer dollar tone reflected renewed risk-off sentiment, partly driven by weakness in South Korea's Kospi index as chip stocks weighed. For currency traders, the dollar's strength highlights the ongoing divergence between the Federal Reserve's relatively hawkish stance and other major central banks. Traders can monitor these moves in real time on NowPrice's live FX dashboard.
Looking ahead, market participants will focus on upcoming US economic data, including non-farm payrolls and inflation figures, which could provide further clues on the Fed's policy path. Any signs of a softening labor market might temper dollar gains, while persistent inflation could reinforce the greenback's bid. Meanwhile, OPEC+ supply dynamics will remain in focus as the group's next meeting approaches, with potential implications for oil-linked currencies such as the Canadian dollar and Norwegian krone.